simplified prospectus dated october 27, 2017 fidelity funds · from registration. simplified...
TRANSCRIPT
No securities regulatory authority has expressed an opinion about these units. It’s an offence to claim otherwise. The Funds and the securities of the Funds offered under this simplified prospectus are not registered with the United States Securities and Exchange Commission and they are sold in the United States only in reliance on exemptions from registration.
Simplified Prospectus dated October 27, 2017
Fidelity Funds
Equity Funds Canadian Equity Funds
Fidelity Canadian Disciplined Equity® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Growth Company Fund Series A, B, E1, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Large Cap Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Opportunities Fund Series A, B, E1, E1T5, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Dividend Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Greater Canada Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Dividend Plus Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Special Situations Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity True North® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Focused Equity Investment Trust
Series O units
Fidelity Dividend Investment Trust Series O units North American Equity Funds Fidelity North American Equity Investment Trust Series O units U.S. Equity Funds Fidelity American Disciplined Equity® Fund Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P2, P3, S5,
S8, T5, T8 units Fidelity American Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity American Equity Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Focused Stock Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Small Cap America Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Currency Neutral Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Investment Trust Series O units Fidelity U.S. Dividend Registered Fund Series A, B, E1, E2, E3, F, P1, P2, P3 units
Fidelity U.S. All Cap Fund Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Event Driven Opportunities Fund Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Global and International Equity Funds Fidelity AsiaStar® Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units Fidelity China Fund Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5,
S8, T5, T8 units Fidelity Emerging Markets Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units Fidelity Europe Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units Fidelity Far East Fund Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5,
P3, P3T5, P4, S5, S8, T5, T8 units Fidelity Global Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1,
P2, P3, P4, S5, S8, T5, T8 units Fidelity Global Disciplined Equity® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1,
P2, P3, P4, S5, S8, T5, T8 units Fidelity Global Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity Global Dividend Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Global Large Cap Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Global Concentrated Equity Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8 units
Fidelity Global Small Cap Fund Series A, B, E1, E2, F, O, P1, P2, P3 units Fidelity International Disciplined Equity® Fund Series A, B, E1, E2, F, O, P1, P2, S5, S8, T5, T8 units Fidelity International Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity International Concentrated Equity Fund Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units Fidelity Japan Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2 units Fidelity Frontier Emerging Markets Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity NorthStar® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F,
F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, S5, S8, T5, T8 units
Fidelity NorthStar® Currency Neutral Fund Series O units Fidelity International Growth Fund Series A, B, E1, E2, E3, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5,
S5, S8, T5, T8 units Fidelity Global Dividend Investment Trust Series O units Fidelity Global Intrinsic Value Investment Trust Series O units Global Sector Funds Fidelity Global Consumer Industries Fund Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units Fidelity Global Financial Services Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2 units Fidelity Global Health Care Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity Global Natural Resources Fund Series A, B, E1, E2, E3, F, O, P1, P2, P3, P4, P5 units Fidelity Global Real Estate Fund Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2,
P2T5, P3, P4, S5, S8, T5, T8 units Fidelity Technology Innovators Fund (formerly Fidelity Global Technology Fund)
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity Global Telecommunications Fund Series A, B, E1, E2, F, O, P1, P2 units Asset Allocation and Balanced Funds Canadian Asset Allocation and Balanced Funds
Fidelity Canadian Asset Allocation Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Balanced Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity Monthly Income Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Income Allocation Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Global Asset Allocation and Balanced Funds Fidelity Global Asset Allocation Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1,
P1T5, P2, P3, P4, S5, S8, T5, T8 units Fidelity Global Monthly Income Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1,
P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units Fidelity Global Monthly Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5, T8 units
Fidelity Tactical Strategies Fund Series A, B, E1, E1T5, E2, E3, F, F5, F8, O, P1, P2, P3, S5, S8, T5, T8 units
Fidelity U.S. Monthly Income Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8,O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, S5, S8, T5, T8 units
Fidelity U.S. Monthly Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5, T8 units
Fidelity Tactical High Income Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Tactical High Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity NorthStar® Balanced Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity NorthStar® Balanced Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity American Balanced Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity American Balanced Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5, T8 units
Fidelity Conservative Income Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity Managed Portfolios Fidelity Income Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1,
P1T5, P2, P2T5, P3, S5, S8, T5, T8 units Fidelity Global Income Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1,
P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8 units Fidelity Balanced Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1,
P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units Fidelity Global Balanced Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1,
P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5, T8 units Fidelity Growth Portfolio Series A, B, E1, E1T5, E2, E3, F, F5, F8, O, P1, P1T5, P2, S5,
S8, T5, T8 units Fidelity Global Growth Portfolio Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2,
P2T5, P3, P4, S5, S8, T5, T8 units
Fidelity Balanced Managed Risk Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Conservative Managed Risk Portfolio Series A, B, E1, E1T5, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity ClearPath® Retirement Portfolios Fidelity ClearPath® 2005 Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, S5, S8,
T5, T8 units Fidelity ClearPath® 2010 Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, F, O, P1, P2, S5, S8, T5,
T8 units Fidelity ClearPath® 2015 Portfolio Series A, B, E1, E1T5, E2, E3, E4, E5, F, O, P1, P2, P3, S5, S8,
T5, T8 units Fidelity ClearPath® 2020 Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5,
S8, T5, T8 units Fidelity ClearPath® 2025 Portfolio Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3 units Fidelity ClearPath® 2030 Portfolio Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3 units Fidelity ClearPath® 2035 Portfolio Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units Fidelity ClearPath® 2040 Portfolio Series A, B, E1, E2, E3, E4, F, O, P1, P2 units Fidelity ClearPath® 2045 Portfolio Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units Fidelity ClearPath® 2050 Portfolio Series A, B, E1, F, O, P1 units Fidelity ClearPath® 2055 Portfolio Series A, B, E1, E2, E3, E4, E5, F, O, P1 units Fidelity ClearPath® Income Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5,
S8, T5, T8 units Fixed Income Funds Canadian Fixed Income Funds
Fidelity Canadian Bond Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity Corporate Bond Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4, P5 units Fidelity Canadian Money Market Fund Series A, B, C, D, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5
units Fidelity Canadian Short Term Bond Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity Tactical Fixed Income Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4, P5 units U.S. Fixed Income Funds Fidelity American High Yield Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity American High Yield Currency Neutral Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity U.S. Money Market Fund Series A, B, E1, E2, E3, E4 units Fidelity Floating Rate High Income Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units Fidelity Floating Rate High Income Currency Neutral Fund
Series A, B, E1, E2, E3, E4, F, P1, P2, P3 units
Fidelity Multi-Sector Bond Fund Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units Fidelity Multi-Sector Bond Currency Neutral Fund Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units Fidelity Strategic Income Fund Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4 units Fidelity Strategic Income Currency Neutral Fund Series A, B, E1, E2, E3, F, P1, P2, P3, P4, P5 units Global Fixed Income Funds Fidelity Global Bond Fund Series A, B, E1, E2, E3, F, O, P1, P2, P3, P4, P5 units Fidelity Global Bond Currency Neutral Fund Series A, B, E1, E2, F, O, P1, P2, P3, P4, P5 units
What’s inside
Introduction ........................................................... 1
What is a mutual fund and what are the risks of investing in a mutual fund? ................................. 3
Organization and management of the Funds .. 15
Purchases, switches and redemptions ............ 17
Optional services ................................................ 28
Fees and expenses ............................................. 32
Dealer compensation ......................................... 43
Dealer compensation from management fees 45
Income tax considerations for investors ......... 45
Specific information about each of the mutual funds described in this document .................... 50
Canadian Equity Funds Fidelity Canadian Disciplined Equity® Fund ............................. 67 Fidelity Canadian Growth Company Fund ............................... 70 Fidelity Canadian Large Cap Fund ........................................... 73 Fidelity Canadian Opportunities Fund ...................................... 76 Fidelity Dividend Fund .............................................................. 79 Fidelity Greater Canada Fund .................................................. 82 Fidelity Dividend Plus Fund ...................................................... 85 Fidelity Special Situations Fund ............................................... 88 Fidelity True North® Fund ......................................................... 91 Fidelity Canadian Focused Equity Investment Trust ................ 94 Fidelity Dividend Investment Trust ........................................... 96
North American Equity Funds Fidelity North American Equity Investment Trust ..................... 98
U.S. Equity Funds Fidelity American Disciplined Equity® Fund ............................ 100 Fidelity American Disciplined Equity® Currency Neutral Fund 103 Fidelity American Equity Fund ................................................ 105 Fidelity U.S. Focused Stock Fund .......................................... 108 Fidelity Small Cap America Fund ........................................... 111 Fidelity U.S. Dividend Fund .................................................... 114 Fidelity U.S. Dividend Currency Neutral Fund ........................ 117 Fidelity U.S. Dividend Investment Trust ................................. 120 Fidelity U.S. Dividend Registered Fund ................................. 122 Fidelity U.S. All Cap Fund ...................................................... 125 Fidelity Event Driven Opportunities Fund ............................... 128
Global and International Equity Funds Fidelity AsiaStar® Fund ........................................................... 131 Fidelity China Fund ................................................................. 134 Fidelity Emerging Markets Fund ............................................. 137 Fidelity Europe Fund ............................................................... 139 Fidelity Far East Fund ............................................................. 142 Fidelity Global Fund ................................................................ 145 Fidelity Global Disciplined Equity® Fund ................................. 148 Fidelity Global Disciplined Equity® Currency Neutral Fund .... 151 Fidelity Global Dividend Fund ................................................. 154 Fidelity Global Large Cap Fund .............................................. 157 Fidelity Global Concentrated Equity Fund .............................. 160 Fidelity Global Small Cap Fund .............................................. 163 Fidelity International Disciplined Equity® Fund ....................... 165 Fidelity International Disciplined Equity® Currency Neutral Fund
.......................................................................................... 168 Fidelity International Concentrated Equity Fund ..................... 171 Fidelity Japan Fund ................................................................ 173 Fidelity Frontier Emerging Markets Fund ................................ 175 Fidelity NorthStar® Fund ......................................................... 178 Fidelity NorthStar® Currency Neutral Fund ............................. 181 Fidelity International Growth Fund .......................................... 183 Fidelity Global Dividend Investment Trust .............................. 186 Fidelity Global Intrinsic Value Investment Trust ...................... 188
Global Sector Funds Fidelity Global Consumer Industries Fund .............................. 190 Fidelity Global Financial Services Fund .................................. 193 Fidelity Global Health Care Fund ............................................ 195 Fidelity Global Natural Resources Fund ................................. 198 Fidelity Global Real Estate Fund ............................................ 201 Fidelity Technology Innovators Fund ...................................... 204 Fidelity Global Telecommunications Fund .............................. 206
Canadian Asset Allocation and Balanced Funds Fidelity Canadian Asset Allocation Fund ................................ 209 Fidelity Canadian Balanced Fund ........................................... 212 Fidelity Monthly Income Fund ................................................. 215 Fidelity Income Allocation Fund .............................................. 219
Global Asset Allocation and Balanced Funds Fidelity Global Asset Allocation Fund ..................................... 222 Fidelity Global Monthly Income Fund ..................................... 225 Fidelity Global Monthly Income Currency Neutral Fund ......... 228 Fidelity Tactical Strategies Fund ............................................. 231 Fidelity U.S. Monthly Income Fund ......................................... 234 Fidelity U.S. Monthly Income Currency Neutral Fund ............. 237 Fidelity Tactical High Income Fund ......................................... 241
Fidelity Tactical High Income Currency Neutral Fund ............ 244 Fidelity NorthStar® Balanced Fund ......................................... 247 Fidelity NorthStar® Balanced Currency Neutral Fund............. 251 Fidelity American Balanced Fund ........................................... 255 Fidelity American Balanced Currency Neutral Fund .............. 259 Fidelity Conservative Income Fund ........................................ 263
Fidelity Managed Portfilios Fidelity Income Portfolio ......................................................... 267 Fidelity Global Income Portfolio .............................................. 270 Fidelity Balanced Portfolio ...................................................... 273 Fidelity Global Balanced Portfolio .......................................... 276 Fidelity Growth Portfolio ......................................................... 279 Fidelity Global Growth Portfolio .............................................. 282 Fidelity Balanced Managed Risk Portfolio .............................. 285 Fidelity Conservative Managed Risk Portfolio ........................ 288
Fidelity ClearPath® Retirement Portfolios Fidelity ClearPath® 2005 Portfolio .......................................... 292 Fidelity ClearPath® 2010 Portfolio .......................................... 295 Fidelity ClearPath® 2015 Portfolio .......................................... 298 Fidelity ClearPath® 2020 Portfolio .......................................... 301 Fidelity ClearPath® 2025 Portfolio .......................................... 304 Fidelity ClearPath® 2030 Portfolio .......................................... 307 Fidelity ClearPath® 2035 Portfolio .......................................... 310 Fidelity ClearPath® 2040 Portfolio .......................................... 313 Fidelity ClearPath® 2045 Portfolio .......................................... 316 Fidelity ClearPath® 2050 Portfolio .......................................... 319 Fidelity ClearPath® 2055 Portfolio .......................................... 322 Fidelity ClearPath® Income Portfolio ...................................... 325
Canadian Fixed Income Funds Fidelity Canadian Bond Fund ................................................. 329 Fidelity Corporate Bond Fund ................................................ 332 Fidelity Canadian Money Market Fund ................................... 335 Fidelity Canadian Short Term Bond Fund .............................. 337 Fidelity Tactical Fixed Income Fund ....................................... 340
U.S. Fixed Income Funds Fidelity American High Yield Fund ......................................... 343 Fidelity American High Yield Currency Neutral Fund ............. 346 Fidelity U.S. Money Market Fund ........................................... 349 Fidelity Floating Rate High Income Fund ............................... 351 Fidelity Floating Rate High Income Currency Neutral Fund ... 354 Fidelity Multi-Sector Bond Fund ............................................. 357 Fidelity Multi-Sector Bond Currency Neutral Fund ................. 360 Fidelity Strategic Income Fund ............................................... 363 Fidelity Strategic Income Currency Neutral Fund ................... 366
Global Fixed Income Funds Fidelity Global Bond Fund ...................................................... 369 Fidelity Global Bond Currency Neutral Fund .......................... 372
Glossary ............................................................ 375
Introduction
1
This document is a simplified prospectus. In this document, we, us, our and Fidelity refer to
Fidelity Investments Canada ULC. The funds offered under this simplified prospectus are referred
to together as the Funds and individually as a Fund.
The Funds are grouped into the categories and sub-categories set out on the cover page of this
simplified prospectus.
The Fidelity ClearPath® Retirement Portfolios, excluding Fidelity ClearPath® Income Portfolio, are
referred to as the Fidelity ClearPath® Portfolios. The term Portfolio may also be used to refer to
any individual Fidelity ClearPath® Retirement Portfolio or to any Fidelity Managed Portfolio, and
the term Portfolios may also be used to refer to all of these Funds.
Fidelity Canadian Focused Equity Investment Trust, Fidelity Dividend Investment Trust, Fidelity
North American Equity Investment Trust, Fidelity U.S. Dividend Investment Trust, Fidelity Global
Dividend Investment Trust and Fidelity Global Intrinsic Value Investment Trust are referred to as
the Investment Trusts.
The Funds, together with other funds managed and offered by Fidelity under separate simplified
prospectuses, are referred to as the Fidelity Funds.
In this document, we refer to financial advisors and dealers. The financial advisor is the individual
with whom you consult for investment advice and the dealer is the company or partnership that
employs your financial advisor.
This simplified prospectus contains selected important information to help you make an informed
investment decision about the Funds and to understand your rights as an investor. Sometimes we
use industry or defined terms to describe something in this document. We provide a brief
description of some of those terms in the glossary at the end of this document. Terms that are
contained in the glossary are in italics in this document.
This document is divided into two parts. The first part explains what mutual funds are and the
different risks you face by investing in them. It also provides general information that applies to all
of the Funds. The second part contains specific information about each of the Funds.
Additional information about each Fund is available in its annual information form, its most
recently filed fund facts, its most recently filed annual financial statements and any interim
financial statements filed after those annual financial statements, and its most recently filed annual
Introduction (continued)
2
management report of fund performance and any interim management report of fund performance
filed after that annual management report of fund performance. These documents are
incorporated by reference into this simplified prospectus. That means they legally form part of this
simplified prospectus just as if they were included in it.
You can get a copy of the Funds’ annual information form, fund facts, financial statements and
management reports of fund performance at no cost by calling us at 1-800-263-4077, by sending
us an e-mail at [email protected] (for assistance in English) or [email protected] (for
assistance in French) or by asking your financial advisor. You can also find this simplified
prospectus, the fund facts, the financial statements and the management reports of fund
performance on our website at www.fidelity.ca.
These documents and other information about the Funds are also available at www.sedar.com.
What is a mutual fund and what are the risks of investing in a mutual fund?
3
Millions of Canadians are working toward their financial
goals by investing their money in mutual funds. Whether it’s
saving for retirement or putting aside cash for a down
payment on a home, mutual funds have become an
investment of choice for many people.
But what exactly are mutual funds, how do they work and
what are the risks? This section has the answers.
What is a mutual fund? Simply put, a mutual fund is a pool of investments made on
behalf of a large group of people. Here’s how it works:
when you buy a mutual fund, you’re actually putting your
money together with that of many other people who like the
same sorts of investments that you do. A professional
investment expert – called a portfolio manager – takes that
pool of cash and invests it for the whole group. If the
investments make a profit, you share that profit with
everyone else in the group. If the investments lose money,
everyone shares in the loss.
Sold in units
When you invest in a mutual fund, you’re buying a piece of
the mutual fund, which piece is called a unit in the case of a
mutual fund organized as a trust and a share in the case of
a mutual fund offered as a class of shares of a mutual fund
corporation, such as Fidelity Capital Structure Corp. The
attributes of shares and units are generally the same. We
usually only refer to units in this simplified prospectus.
Mutual fund companies keep track of the size of your piece
of a mutual fund by recording how many units you own. The
more money you put into a mutual fund, the more units you
get.
Some mutual funds offer units in more than one series. It’s
possible that each series may have different management
fees or expenses.
How do you make money?
You make money on mutual funds if you buy your units at
one price and sell – or redeem – them later at a higher
price. Of course, you lose money if you redeem your units
for less than you paid. You can also make money when the
mutual fund pays you your share of the income and capital
gains it has earned on its investments.
What do mutual funds invest in?
Mutual funds invest in many of the same things as
individual investors – everything from treasury bills to
shares on foreign stock markets. The kind of securities a
mutual fund invests in depends on the mutual fund’s goal or
investment objectives. For example, there are mutual funds
for people who want to gain exposure to short-term fixed
income securities as well as mutual funds for those who
want to gain exposure to Canadian, U.S. or international
equity securities.
The price of a unit changes every day, depending on how
well the investments of the mutual fund perform. When the
investments rise in value, the price of a unit goes up. When
the investments drop in value, the price of a unit goes
down.
Securities that trade on a public exchange are generally
valued at their last sale or closing price as reported on that
valuation day. If there is no reported sale and no reported
closing price, we value the securities at their closing bid
price on that valuation day. However, if the price is not a
true reflection of the value of the security, we use another
method to determine the value. This practice is called fair
value pricing. It may happen for many reasons, including
where the value is affected by events that occur after a
market where the security is principally traded has closed or
where there has been minimal or infrequent trading in a
security.
While there are thousands of different investments
available, they generally fit into two basic types: debt and
equity. Some mutual funds invest in units of other funds,
called underlying funds. Underlying funds, in turn, may
invest in debt securities, equity securities or, in some cases,
securities of other funds.
Debt securities
Debt securities, or fixed income securities, are obligations
of an issuer to repay a sum of money, usually with interest.
Common examples include those issued by a company or a
government. Debt securities are also an important way for
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
4
companies and governments to raise money. These entities
frequently sell debt securities, called bonds, and use the
cash for major projects, or just to meet their daily expenses.
The government or company usually agrees to pay back
the amount of the debt security within a set amount of time.
If that period of time is about a year or less, the investment
is often called a money market instrument. Examples are
short-term bonds and government treasury bills. If the
length of time for repayment is more than about a year, the
investment is often referred to as a fixed income
investment. Examples are corporate and government bonds
and mortgages.
Equity securities
Equity securities are investments that give the holder part
ownership in a company. When a mutual fund buys equity
securities, it is buying a piece of a business. The most
familiar example is common shares that trade on the stock
market.
Equity securities can earn money in two ways. The value of
the shares can rise (or fall) as people buy and sell them on
stock exchanges. If a company appears to be doing well in
its business, more people may want to buy a piece of it, and
the share price is likely to go up. On the other hand, if a
company’s business doesn’t seem to be doing well,
investors may decide to sell their piece of the company, and
the share price is likely to go down. Some kinds of equity
securities also pay you a portion of any profit the company
may earn. These payments are called dividends.
What advantages do mutual funds have?
You could make many of the same investments that
portfolio managers of mutual funds make. So why buy
mutual funds? There are several advantages.
Professional management
For one thing, professional portfolio managers make all the
decisions about exactly which securities to invest in and
when to buy or sell them. It’s their full-time job, so you don’t
have to spend the time making these investment decisions
on your own. Portfolio managers may also prepare or have
access to proprietary information and research that isn’t as
accessible to individual investors.
Diversification
A second advantage is something called diversification.
Diversification means owning several different investments
at once. Here’s why it’s important. The value of your
investments go up and down over time; that’s the nature of
investing. But not all investments are likely to go up or down
at the same time, or to the same extent, which can help to
lessen the volatility of the mutual fund over the long-term.
Since mutual funds typically hold many investments, they
offer a simple way to diversify your portfolio. In addition to
diversifying through the number of investments, mutual
funds often have access to investments individual investors
generally cannot buy. A wider range of types of investments
may increase diversification.
Easy access to your money
Unlike some other kinds of investments, mutual funds are
liquid. This means that you can redeem your units at almost
any time and get your money when you need it (even
though you may get less than you invested).
Record keeping
And finally, mutual funds make your investments easier to
keep track of. Mutual fund companies help you with the
details by sending you regular financial statements, fund
performance reports, and tax slips.
Are there any costs? There are a number of expenses involved in buying and
owning a mutual fund. First, there are costs paid directly by
investors, either when they buy or when they redeem units
of a mutual fund. Then there are expenses paid by the
mutual fund itself. For example, there are management
fees, brokerage commissions, and operating expenses.
Even though the mutual fund, and not the investor, pays
these costs, they reduce an investor’s return. See the Fees
and expenses section for details about the costs of the
Funds.
What investors pay
Financial advisors who sell mutual funds may earn
commissions, also known as sales charges or loads, as
compensation for the advice and service that they provide.
5
There are two kinds of sales charges. You may pay a
percentage of the purchase price when you buy your
mutual fund units. At Fidelity, we call this an initial sales
charge. Or if you redeem your units within a specified
number of years, you may pay a percentage of the
redemption amount to Fidelity at the time you redeem. We
call this a deferred sales charge.
Deferred sales charges may be a good choice if you plan to
leave your money in the mutual fund for a long time. That’s
because any deferred sales charge that you would have to
pay if you sold your units decreases each year, and
disappears entirely after you’ve held the mutual fund units
for a specified number of years.
What the mutual fund pays
Fund managers make their money by charging a
management fee. Usually, it’s a percentage of the net
assets of the mutual fund. Managers collect this fee directly
from the mutual fund itself, not from individual investors,
except for Series O, where a negotiated management fee is
charged directly to investors. The managers use the
management fee to pay expenses, like employee salaries,
research costs, trailing commissions, and promotional
expenses. See the Fees and expenses section for details.
There are also a number of other expenses involved in
running a mutual fund. For example, a mutual fund needs to
value all of its investments every valuation day, and
determine the appropriate price to process the day’s orders
to buy and redeem units of the mutual fund. There are also
transfer agency fees, brokerage commissions, legal fees,
regulatory filing fees, auditing fees, custody fees, taxes, and
other operating expenses that must be taken into account in
arriving at the value of the units. Again, these costs are
sometimes collected directly from the mutual fund.
Alternatively, some managers, including Fidelity, may pay
for some of these expenses in exchange for a fixed rate
Administration Fee that they collect from the mutual fund.
When you divide the management fee and certain operating
expenses by the mutual fund’s average net asset value for
the year, you get the mutual fund’s management expense
ratio. If a mutual fund has more than one series of units,
each series has its own management expense ratio. There
are strict regulations to determine which expenses to
include in the calculation.
How do I know if mutual funds are right for me? One of the real strengths of mutual funds is that they offer
many choices that can be matched to your goals. They
range from the extremely conservative to the more risky.
Your financial advisor can help you make the important
decisions about which mutual funds suit you best.
What’s your risk tolerance?
Can you lose money? Yes.
Even before you talk to a financial advisor, you can start
planning your mutual fund portfolio by deciding how much
risk you’re willing to take. This is also known as your risk
tolerance. Your risk tolerance depends on many factors,
such as your age, investment time horizon, and your goals.
Understanding the risks involved can help. We explain
more about the risks of investing in this section and in each
Fund profile under the heading What are the risks of
investing in the fund? Your financial advisor can help you
assess the risks.
Another factor is your goals. If you want to keep your
money safe and earn a little interest at the same time, a
less risky money market mutual fund may do the job nicely.
But if you’re trying to build some real savings for a big goal,
such as retirement, a money market fund probably won’t
earn enough to do it. You need to consider increasing your
risk to better your chances of earning more money.
Time on your side
How much time do you have? That’s another key
consideration. Say you’re saving for a retirement that’s still
30 years off. In that case, you may be able to afford to take
some risk. If you have 30 years, the ups and downs of the
stock market, for example, aren’t as much of a concern.
Sure, some of your riskier investments could drop in the
short-term, but over the longer term, past experience
suggests that a broadly diversified portfolio of equity
investments tends to rise more often than it falls. Of course,
how well a mutual fund performed in the past doesn’t tell
you how it will perform in the future.
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
6
On the other hand, if you’ve only got a few years left until
you expect you’ll need your money, you should consider
reducing your risk. In this case, there isn’t enough time left
for your investments to recover should they drop in value.
A good variety works best
Finally, you should consider having a mix of mutual funds,
some conservative, others less so. That’s part of
diversification. No single mutual fund is in itself a balanced
investment plan. The appropriate mix depends on your risk
tolerance, your goals, and how long you have to reach
those goals.
What are the risks of investing in a mutual fund? Everybody wants to earn money when they invest. But you
may lose money too. This is known as risk.
Unlike bank accounts or guaranteed investment certificates,
mutual fund units aren’t covered by the Canada Deposit
Insurance Corporation or any other government deposit
insurer. It’s important to remember that like all mutual
funds, there’s no guarantee that when you redeem your
units of the Funds, you’ll get back the full amount of money
you originally invested. On rare occasions, a mutual fund
may not allow you to redeem your units. See Suspending
your right to redeem units under the heading Purchases,
switches and redemptions for more information.
Mutual funds own different kinds of investments, depending
on their investment objectives. The value of these
investments changes from day to day because of changes
in interest rates, economic conditions, and market or
company news, for example. That means the value of a
mutual fund’s units can go up and down, and you may get
more or less than you invested when you sell your units.
Generally speaking, the greater the risk of an investment,
the greater its potential for return; the lower the risk, the
smaller the potential for return. Higher-risk investments,
such as stocks and high yield securities, are likely to have
changes in their prices from day to day. And some may
have bigger changes than others. These swings in prices
are called volatility. Investments with higher risk and higher
volatility may suffer substantial losses over the short-term.
But historically, higher-risk investments have generally
offered a greater potential return over the long-term. This is
one reason why it’s important to diversify your portfolio, and
make sure that the types of mutual funds you choose suit
the length of time you expect to invest. The key is to
recognize the risk involved in a particular investment, and
then decide if it’s a risk you want to take. Your financial
advisor can help you understand risk and build a portfolio
that’s right for you.
How mutual funds can reduce risk
While there’s no doubt that mutual funds come with risks,
they can be less risky as a whole than comparable
individual investments. Mutual funds are managed by
professional portfolio managers. They spend hours studying
reports about the companies they’re investing in, analyzing
statistics, and examining the mix of investments in the
mutual fund. It’s work that the average investor doesn’t
have time for, or the necessary expertise, and it can
increase the chance that the mutual fund achieves its goal.
Equally important is the fact that mutual funds offer
diversification. Even mutual funds that specialize in one
type of industry or one country usually make a variety of
investments within their particular sector.
How you can reduce risk
Mutual funds aren’t meant to be a way of making a quick
profit. They’re long-term investments. If you buy a mutual
fund, you should generally buy it with a view to holding it
over a number of years. Don’t try to second-guess the
market and figure out the “best time” to get in or out.
Generally speaking, a carefully chosen group of mutual
funds bought and held over the long-term gives you the
best chance of meeting your financial goals.
Specific risks of investing in mutual funds
Mutual funds are made up of many securities, and the
prices of those securities can go up or down. Here are
some of the most common risks that can cause the value of
units of a mutual fund to change. To find out which of these
risks apply to each Fund, see the individual Fund profiles. A
fund that invests in an underlying fund has similar risks as
an investment in that underlying fund.
7
You must feel comfortable with the risk that you take.
Before you invest, discuss it with your financial
advisor.
Asset-backed securities and mortgage-backed securities risk
Asset-backed securities are debt obligations that are
backed by pools of consumer or business loans.
Mortgage-backed securities are debt obligations backed by
pools of mortgages on commercial or residential real estate.
The main risks associated with investing in asset-backed
securities and mortgage-backed securities are:
If there are changes in the market’s perception of the
issuers of these types of securities, in the
creditworthiness of the underlying borrowers, or in the
assets backing the pools, then the value of the
securities may be affected.
The underlying loans may not be ultimately repaid in
full, in some cases leading to holders of asset-backed
securities and mortgage-backed securities not
receiving full repayment.
If these securities are prepaid before maturity and the
prepayment is unexpected, or if it occurs faster than
predicted, the asset-backed securities or mortgage-
backed securities may pay less income, and their value
might decrease. Since issuers generally choose to
prepay when interest rates fall, the mutual fund may
have to reinvest this money in securities that have lower
rates.
Commodity risk
Some mutual funds invest indirectly in commodities or
commodity sectors, including gold, silver, other precious
metals, industrial metals, energy, and soft (or grown)
commodities, like wheat, livestock, cocoa, cotton, coffee,
and sugar. There are several ways a mutual fund can
obtain commodities exposure, including by:
Purchasing securities of an exchange-traded fund or
ETF.
Purchasing exchange-traded derivatives.
Investing directly in a company operating in a
commodities sector.
ETFs that seek to replicate the performance of gold, silver,
or both, or of an index that tracks such performance, are
referred to as Gold/Silver ETFs. Gold/Silver ETFs may be
leveraged or unleveraged. Typically, a leveraged
Gold/Silver ETF attempts to magnify returns by a multiple of
200%. Gold/Silver ETFs may invest directly or indirectly in
gold, silver, or derivatives that have gold or silver as an
underlying interest.
We refer to ETFs that seek to replicate the performance of
one or more physical commodities other than gold or silver,
or of an index that tracks such performance, as Commodity
ETFs. Commodity ETFs are unleveraged. Commodity ETFs
may invest directly or indirectly in physical commodities, or
derivatives that have physical commodities as an
underlying interest.
Commodity prices can fluctuate significantly in short time
periods. A fund exposed to commodities may, therefore,
experience volatility in its net asset value. Commodity
prices can change as a result of a number of factors,
including supply and demand, speculation, central bank and
international monetary activities, political or economic
instability, changes in interest rates and currency values,
new discoveries, or changes in government regulations
affecting commodities.
Concentration risk
Some mutual funds may concentrate their investments by:
Investing in relatively few companies.
Investing in a particular industry or geographic region.
Holding more than 10% of their net assets in securities
of a single issuer.
A relatively high concentration of assets in, or exposure to,
a particular industry, geographic region, single issuer or a
small number of issuers may reduce the diversification of a
mutual fund, and may result in increased volatility in the
mutual fund’s net asset value. Issuer concentration may
also increase the illiquidity of the mutual fund’s portfolio if
there is a shortage of buyers willing to purchase those
securities.
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
8
Credit risk
Credit risk is the risk that the issuer of a fixed income
security can’t pay interest or repay principal when it’s due.
Many fixed income securities of companies and
governments are rated by third party sources, such as
Standard & Poor’s, to help describe the creditworthiness of
the issuer. However, these credit ratings may not accurately
reflect the true risk of the issuer.
The market value of fixed income securities can be affected
by adverse news, or a downgrade in the security’s rating.
Other factors can also affect the market value of the
security, such as a change in the creditworthiness, or
perceived creditworthiness, of the security’s issuer.
Fixed income securities that have a low credit rating, or
which are unrated, are known as high yield securities. High
yield securities typically:
Offer a higher yield than securities with a high credit
rating.
Have a higher potential for loss than fixed income
securities issued by financially stable and solvent
issuers.
Are more likely to go into default on interest and
principal payments than securities with a higher credit
rating.
Are less liquid in times of market declines.
Certain types of fixed income securities, such as floating
rate debt instruments, may be backed by specific assets
that are pledged by the issuer in the event of a default,
including non-payment. However, there is a risk that:
The value of the pledged collateral declines, or is
insufficient to meet the obligations of the borrower to all
investors or lenders.
Investors or lenders may incur legal costs, be subject to
lengthy delays, or be unable to fully recoup the
principal amount and/or lost interest in the event of the
issuer’s default.
These and other factors may result in losses to mutual
funds that hold these types of securities.
Currency risk
Currency risk, sometimes referred to as exchange rate risk,
is the risk that the value of an investment held by a mutual
fund is affected by changes in the value of the currency in
which the investment is denominated. Movements in
exchange rates can affect the day-to-day value of a mutual
fund, especially if it holds a lot of foreign investments.
A mutual fund that buys and sells securities in currencies
other than the Canadian dollar can make money when the
value of the Canadian dollar decreases relative to the
foreign currency, and can lose money when the value of the
Canadian dollar rises compared with the foreign currency.
These gains and losses occur when the fund converts its
Canadian dollars to the foreign currency in order to buy a
security, and when it converts the foreign currency back
into Canadian dollars when it sells the security. If, for
example, the value of the Canadian dollar has risen, but the
market value of the investment has stayed the same, the
investment is worth less in Canadian dollars when it’s sold.
Some Funds that invest in securities issued in currencies
other than the Canadian dollar may use the U.S. dollar as
their primary working currency instead of the Canadian
dollar. This means that the cash received by the mutual
fund, including Canadian dollars received from purchases
by investors and the proceeds of settled trades, is
converted into U.S. dollars every day. In addition, U.S.
dollars are converted back into Canadian dollars to fund
redemptions. A U.S. dollar working currency is generally
used by Funds that invest:
Primarily in U.S. dollar-denominated securities, since it
helps to reduce currency transactions associated with
the mutual fund’s investment activities in these
securities.
All or a substantial portion of their assets in securities
denominated in foreign currencies other than the U.S.
dollar, since the U.S. dollar is typically liquid, and may
be more efficiently traded than other currencies.
While we believe there are benefits to the Funds that use
the U.S. dollar as their working currency, there is no
assurance that this strategy is effective, and it is possible
that costs incurred by these Funds for foreign exchange
transactions may exceed the benefits.
9
Some of the Funds may use derivatives, such as options,
futures contracts, forward contracts, swaps, and
customized types of derivatives, to reduce the effect of
changes in exchange rates.
Cyber security risk
Cyber security risk is the risk of harm, loss, and liability
resulting from a failure or breach of an organization’s
information technology systems.
In general, cyber security risk can result from deliberate
attacks or unintentional events, and may arise from external
or internal sources. Cyber attacks include gaining
unauthorized access to digital systems (e.g., through
“hacking” or malicious software coding) for purposes of
misappropriating assets or sensitive information, corrupting
data, equipment or systems, or causing operational
disruption. Cyber attacks may also be carried out in a
manner that does not require gaining unauthorized access,
such as causing denial-of-service attacks on websites (i.e.,
efforts to make network services unavailable to intended
users).
Cyber security risk has the ability to negatively impact the
Funds and the unitholders of the Funds by, among other
things, disrupting and impacting business operations,
interfering with a Fund’s ability to calculate its net asset
value, impeding trading by or in the Funds, or causing
violations of applicable privacy and other laws.
While Fidelity has established business continuity plans and
risk management systems to address cyber security risk,
there are inherent limitations in such plans and systems,
including the possibility that certain risks have not been
identified. Furthermore, although Fidelity has vendor
oversight policies and procedures, a Fund cannot control
the cyber security plans and systems put in place by its
service providers, or any other third party whose operations
may affect the Fund or its unitholders. The Fund and its
unitholders could be negatively impacted as a result.
Derivative risk
A derivative is an investment that bases its value on how
well another kind of investment, like a stock, bond,
currency, or market index, is doing. Derivatives usually take
the form of a contract with another party to buy or sell an
asset at a later time. Funds that invest in derivatives are in
a position to make or lose money based on changes in the
underlying interest, such as interest rates, securities prices,
or currency exchange rates. Here are some examples of
derivatives:
Options. Options give the holder the right to buy an
asset from, or sell an asset to, another party for a set
price, during a set period of time. Fluctuations in the
value of the asset during the life of the option impact
the value of the option. It’s called an option because
the holder has the option of exercising the right to buy
or sell the asset, and the other party is obliged to
satisfy this right. The other party generally receives a
cash payment (a premium) for agreeing to provide the
option.
Forward contracts. In a forward contract, an investor
agrees to buy or sell an asset, such as a security or
currency, at an agreed price on a specific date in the
future.
Futures contracts. Futures contracts generally
function in a similar manner as forward contracts, but
are traded on an exchange.
Swaps. With a swap agreement, two parties agree to
exchange, or swap, payments. The payments the
two parties make are based on an agreed underlying
amount, like a bond. Each party’s payments are
calculated differently. For example, one party’s
payments may be based on a floating interest rate,
while the other party’s payments may be based on a
fixed interest rate.
Debt-like securities. With a debt-like security, the
amount of principal and/or interest an investor receives
goes up or down depending on whether there is an
increase or decrease in the value of an agreed
underlying security, like a share.
There are a number of risks involved in the use of
derivatives. Here are some of the most common risks:
There’s no guarantee that a mutual fund is able to buy
or sell a derivative at the right time to make a profit or
limit a loss.
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
10
There’s no guarantee that the other party to the
contract, referred to as a counterparty, lives up to its
obligations, which could result in a financial loss for the
mutual fund.
If the value of a derivative is tied to the value of an
underlying interest, there’s no guarantee that the value
of the derivative at all times accurately reflects the
value of the underlying interest.
If the counterparty goes bankrupt, the mutual fund
could lose any deposit that was made as part of the
contract.
If the derivatives are traded on foreign markets, it may
be more difficult and take longer to complete the
transaction. Foreign derivatives can also be riskier than
derivatives traded on North American markets.
Securities exchanges could set daily trading limits on
options and futures contracts. This could prevent a
mutual fund from completing an options or futures
transaction, making it very difficult to hedge properly, to
make a profit, or to limit a loss.
If a mutual fund is required to give a security interest in
order to enter into a derivative, there is a risk that the
other party may try to enforce the security interest
against the mutual fund’s assets.
Mutual funds can use derivatives to help offset losses that
other investments might suffer because of changes in stock
prices, commodity prices, interest rates, or currency
exchange rates. This is called hedging. While using
derivatives for hedging has its benefits, it’s not without its
own risks. Here are some of them:
There’s no guarantee that a hedging strategy always
works.
A derivative doesn’t always offset a drop in the value of
a security, even if it has usually worked out that way in
the past.
Hedging doesn’t prevent changes in the prices of the
securities in a mutual fund’s portfolio, or prevent losses
if the prices of the securities go down.
Hedging can also prevent a mutual fund from making a
gain if the value of the currency, stock, or bond goes
up.
Currency hedging does not result in the impact of
currency fluctuations being eliminated altogether.
A mutual fund might not be able to find a suitable
counterparty to enable the mutual fund to hedge
against an expected change in a market if most other
people are expecting the same change.
Hedging may be costly.
Equity risk
Companies issue common shares and other kinds of equity
securities to help pay for their operations and finance future
growth. Equity securities can drop in price for many
reasons. For example, they’re affected by general
economic and market conditions, interest rates, political
developments, and changes in the companies that issue
them. If investors have confidence in a company and
believe it will grow, the price of its equity securities is likely
to rise. If investor confidence falls, equity prices are also
likely to fall. The prices of equity securities can vary widely,
and mutual funds that invest in equity securities are
generally more volatile than mutual funds that invest in fixed
income securities.
Exchange-traded fund (ETF) risk
A mutual fund may invest in an underlying fund whose
securities are listed for trading on an exchange. These
underlying funds are called ETFs. The investments held by
ETFs may include stocks, bonds, commodities, and other
financial instruments. Some ETFs attempt to replicate the
performance of a widely-quoted market index. However, not
all ETFs track an index. While an investment in an ETF
generally presents similar risks as an investment in an
open-ended, actively managed mutual fund that has the
same investment objectives and strategies, it also carries
the following additional risks, which do not apply to an
investment in an open-ended, actively managed mutual
fund:
The performance of an ETF may be different from the
performance of any index, commodity, or financial
11
measure that the ETF may seek to track. There are
several reasons that this might occur, including
transaction costs and other expenses that are borne by
the ETF, the ETF’s securities may trade at a premium
or a discount to their net asset value, or the ETF may
employ complex strategies, such as leverage, making
accurate tracking difficult.
The ability of a mutual fund to realize the full value of its
investment in an underlying ETF depends on the
mutual fund’s ability to sell the ETF’s securities on a
securities market. The mutual fund may receive less
than the ETF’s net asset value per security on such
sale, as the ETF’s securities may not trade at prices
that reflect their net asset value.
There is no guarantee that any particular ETF is
available at any time. An ETF may be newly or recently
organized, with limited or no previous operating history,
and an active trading market for an ETF’s securities
may fail to develop or be maintained. In addition, an
ETF may not continue to meet the listing requirements
of the exchange on which its securities are listed for
trading.
Commissions may apply to the purchase or sale of an
ETF’s securities by a mutual fund.
Foreign investment risk
There are some significant reasons to consider investing
abroad. The economies of foreign countries may grow
faster than Canada’s economy. This can mean that
investments in those countries may also grow more quickly.
Foreign investments give you diversification, because all
your money isn’t invested in Canada.
In addition to currency risk discussed above, foreign
investments have other risks, including:
Not all countries are as well regulated as Canada, or
have the same consistent and reliable accounting,
auditing, and financial reporting standards. Some
countries may have lower standards of business
practices and lax regulation, and may be more
vulnerable to corruption. Even in some relatively well
regulated countries, it can be difficult to get the
information investors need about business operations.
Foreign investments could suffer as a result.
A small number of companies could make up a large
part of the foreign market. If one of these companies
does poorly, the whole market could drop.
Sometimes foreign governments impose taxes, take
over private businesses, or change the rights of foreign
investors. They might impose currency controls that
greatly restrict the ability to get money out of the
country, or they may devalue their currency.
Riots, civil unrest or wars, or unstable governments in
some countries could hurt investments.
Foreign countries may experience relatively high
inflation, and high interest rates.
It’s sometimes hard to enforce the mutual fund’s legal rights
in another country.
For fixed income securities bought on foreign markets,
including some government bonds, there’s a risk that the
issuer doesn’t pay off the debt, or that the price of the
securities drops rapidly.
Of course, the amount of risk varies from country to
country. Securities in developed markets generally have
lower foreign investment risk because they’re usually well
regulated and are relatively stable. However, securities of
governments and companies in the emerging or developing
markets, such as South or Southeast Asia and Latin
America, can have significant foreign investment risk.
Interest rate risk
Interest rates impact the cost of borrowing for governments,
companies, and individuals, which, in turn, impacts overall
economic activity, and a wide range of investments. Lower
interest rates tend to stimulate economic growth, whereas
high interest rates tend to do the opposite.
When interest rates rise, fixed income securities, like
treasury bills and bonds, tend to fall in price. On the other
hand, these securities tend to rise in price when interest
rates fall. The cash flow from fixed income securities with
variable rates can change as interest rates fluctuate.
Longer-term bonds and strip bonds are generally more
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
12
sensitive to changes in interest rates than other kinds of
securities.
When interest rates fall, the issuers of many kinds of fixed
income securities may repay the principal before the
security matures. This is called making a prepayment. This
is a risk because if a fixed income security is paid off
sooner than expected, the mutual fund may have to
reinvest its money in securities that have lower rates. Also,
if paid off unexpectedly, or faster than predicted, the fixed
income security can offer less income and/or potential for
capital gains.
Changing interest rates can also indirectly impact the share
prices of equity securities. When interest rates are high, it
may cost a company more to fund its operations, or to pay
down existing debt. This can impair a company’s
profitability and earnings growth potential, which can
negatively impact its share price, making the company less
attractive to potential investors. Conversely, lower interest
rates can make financing for a company less expensive,
which can potentially increase its earnings growth potential.
Interest rates can also impact the demand for goods and
services that a company provides by impacting overall
economic activity.
Large transaction risk
Other investment products, such as segregated funds
offered by insurance companies and other investment
funds, may invest in a mutual fund. There is a risk that
these investments may become large, resulting in large
purchases and redemptions of units of the fund. Other
investors may also purchase large amounts of a fund.
Large purchases and redemptions may result in:
A fund maintaining an abnormally high cash balance.
Large sales of portfolio securities, impacting market
value.
Increased transaction costs (e.g., commissions).
Capital gains being realized, which may increase
taxable distributions to investors.
If this should occur, the returns of investors, including other
funds, that invest in the fund may also be adversely
affected.
Tax loss restriction rules, referred to as LREs, apply to a
mutual fund if the fund does not satisfy certain investment
diversification conditions at a time when an investor
(counted together with affiliates) becomes the holder of
units worth more than 50% of the fund. This could happen
when an investor or its affiliates acquire units, or when
another investor redeems units. Each time the LREs apply
to a fund, unitholders may automatically receive an
unscheduled distribution of income and/or capital gain.
These distributions must be included in the unitholders’
income for tax purposes. Also, future distributions paid by
the mutual fund may be larger than they otherwise would
have been due to the restriction on the deduction of prior
losses. For more information regarding the taxation of
distributions, see the Income tax considerations for
investors section.
Liquidity risk
Liquidity of your investment means how quickly and easily
you can sell your units for cash. This is also true for the
securities held in a mutual fund. Most securities held in a
mutual funds are liquid, but there are some investments
that cannot be sold easily or quickly. These are considered
to be illiquid.
Securities can be illiquid for a number of reasons, including:
Legal rules may restrict the ability to sell them.
The securities might have features that make them
difficult to sell.
There may be shortage of buyers.
The securities might suddenly become illiquid because
of sudden changes in the market.
An individual security’s liquidity may simply change
over time.
There are some types of securities that may be more illiquid
when markets are volatile, or there is a sharp market
decline. These include high yield bonds, floating rate debt
instruments or loans, senior secured debt obligations,
convertible securities, high yield commercial mortgage-
backed securities, and fixed income securities issued by
corporations and governments in emerging countries.
13
If these types of securities become illiquid, then there could
be fewer buyers for the securities, the bid/ask spread might
be wider, trade settlement and delivery of the securities to
the mutual fund could take longer than normal, and it may
be difficult to obtain a price for the securities. If a mutual
fund has trouble selling a security, the fund could lose
money, and the value of an investment in the fund could
decline.
Portfolio management risk
All actively managed mutual funds are dependent on their
portfolio management team to select investments. A poor
security selection or market allocation may cause a mutual
fund to underperform relative to its benchmark or other
mutual funds with similar investment objectives.
Repurchase transactions, reverse repurchase transactions and securities lending risk
Sometimes mutual funds enter into what are called
repurchase transactions, securities lending transactions
and reverse repurchase transactions. A repurchase
transaction is where a mutual fund sells a security to
another party for cash and agrees to buy the same security
back from the same party for cash. Securities lending is
similar to a repurchase transaction, except that instead of
selling the security and agreeing to buy it back later, the
mutual fund loans the security and can demand the return
of the security at any time. In a reverse repurchase
transaction, a mutual fund buys a security at one price from
a party and agrees to sell the same security back to the
same party at a higher price later on. In each case, it is a
way for the mutual fund to earn interest on cash balances.
The risk with these types of transactions is that the other
party may default under the agreement, or go bankrupt. In a
reverse repurchase transaction the fund is left holding the
security, and may not be able to sell the security at the
same price it paid for it, plus interest, if the market value for
the security has dropped in the meantime. In the case of a
repurchase transaction or securities lending transaction, the
fund could incur a loss if the value of the security sold or
loaned has increased more than the value of the cash and
collateral held.
Fidelity reduces these risks by requiring the other party to
put up collateral. The value of the collateral has to be at
least 102% of the market value of the security sold (for a
repurchase transaction), cash loaned (for a reverse
repurchase transaction), or security loaned (for a securities
lending transaction). The value of the collateral is checked
and reset daily. The Funds only deal with parties who
appear to have the resources and the financial strength to
live up to the terms of the agreements. Repurchase
transactions and securities lending transactions are limited
to 50% of a Fund’s assets. Collateral held by a Fund for
loaned securities and cash held for sold securities are not
included in a Fund’s assets when making this calculation.
Series risk
The Funds are available in up to thirty-two series of units.
The series available for each Fund are set out on the cover
page of this simplified prospectus. See the section Specific
information about each of the mutual funds described
in this document for the features of each series and who
can purchase them.
If a Fund can’t pay the expenses of one series using its
proportionate share of the Fund’s assets, the Fund is
required to pay those expenses out of the other series’
proportionate share of the Fund’s assets. This could lower
the investment returns of the other series. No expenses are
charged to the Funds for any Series O units that they issue.
The Funds may, without notice to unitholders and without
unitholder approval, issue additional series.
Some of the Funds and certain series of the Funds, such as
the T-SWP® Series, are designed to provide a monthly cash
flow to investors. Where this cash flow exceeds a Fund’s
net income, it includes a return of capital. When a Fund
returns capital to an investor, the Fund returns a portion of
the money that the investor originally invested in the Fund,
rather than returns or income generated by the investment.
A return of capital reduces the net asset value of the series
on which it is paid and, if paid in cash, also reduces the
assets the investor has invested in the Fund. As well, a
return of capital reduces the total assets of the Fund
available for investment, which may reduce the ability of the
Fund to generate future income.
What is a mutual fund and what are the risks of investing in a mutual fund? (continued)
14
Short selling risk
A short sale is where a mutual fund borrows securities from
a borrowing agent (generally a custodian or dealer) and
then sells the borrowed securities in the open market. At a
later date, the same number and type of securities are
repurchased by the fund and returned to the borrowing
agent. In the interim, the proceeds from the first sale are
deposited with the borrowing agent and the fund pays
interest to the borrowing agent. If the value of the securities
declines between the time that the fund borrows the
securities and the time that it repurchases and returns the
securities, the fund makes a profit for the difference (less
any interest the fund must pay to the borrowing agent).
Short selling strategies can provide a mutual fund with an
opportunity to manage volatility and enhance performance
in declining or volatile markets. Short selling securities
involves risk, because there is no assurance that securities
will sufficiently decline in value during the period of the
short sale to offset the interest paid by the fund, and
thereby make a profit for the fund. Securities sold short may
instead increase in value, resulting in a loss to the fund.
The fund may also experience difficulties repurchasing and
returning the borrowed securities. The borrowing agent
from whom the fund has borrowed securities may go
bankrupt, and the fund may lose the collateral it has
deposited with the borrowing agent.
Short selling by the Funds complies with the laws of
Canadian securities regulatory authorities. Compliance with
regulatory rules is monitored on a daily basis.
Small company risk
Small companies can be riskier investments than larger
companies. For one thing, they’re often newer, and may not
have a track record, extensive financial resources, or a
well-established market for their securities. They generally
don’t have as many shares trading in the market, so it could
be difficult for a mutual fund to buy or sell small company
stock when it needs to. All of this means that their prices
and liquidity can change significantly in a short period of
time.
Specialization risk
Some mutual funds specialize in investing in a particular
industry or part of the world. Specialization lets the portfolio
management team focus on specific industries or
geographic areas, which can boost returns if the industry or
geographic area, and the companies selected, prosper. But
if the industry or geographic area has a slump, the mutual
fund may suffer, because there are relatively few other
investments to offset the downturn. The mutual fund must
follow its investment objectives and continue to invest in
securities in the industry or geographic area, whether it is
growing or not. Additionally, if a specific investment
approach used by a mutual fund, such as value or growth,
is out of favour, the mutual fund could suffer if it is obliged
to confine its investments to the specific investment
approach.
Organization and management of the Funds
15
The following information tells you about who’s involved in
running the Funds.
Manager Fidelity Investments Canada ULC
483 Bay Street, Suite 300
Toronto, Ontario M5G 2N7
As Manager, we are responsible for the day-to-day
operations of the Funds and provide all general
management and administrative services.
As at September 30, 2017, Fidelity managed more than
$132 (CAD) billion for its clients. We are part of a group of
companies known as Fidelity Investments®. Fidelity
Investments specializes in investment management for
individuals, either directly, through financial advisors, or
through group retirement plans. We also provide a wide
variety of financial services and products. As at September
30, 2017, the Fidelity Investments group managed more
than $2.4 trillion (USD) through mutual fund portfolios and
other institutional accounts around the world.
Trustee Fidelity Investments Canada ULC
Toronto, Ontario
The Funds are mutual funds organized as trusts. As
trustee, we hold title to each Fund’s investments in trust for
unitholders under the terms described in a declaration of
trust.
Independent Review Committee The IRC is the fund governance agency for the Fidelity
Funds, as contemplated by NI 81-107. There are currently
four members of the IRC, each of whom is independent of
us and any party related to us.
The IRC’s mandate is to (a) consider and make decisions
on those conflict of interest matters that require its approval
under NI 81-107, (b) consider and provide its
recommendations on those conflict of interest matters that
are referred to it for review by the Manager, and (c) perform
any other function required by securities legislation. The
IRC may also approve mergers involving the Funds and
any change of the auditor of the Funds. Unitholder approval
will not be obtained in these circumstances, but you will be
sent a written notice at least 60 days before the effective
date of any merger or change of auditor that affects the
Funds that you own.
The IRC prepares, at least annually, a report for unitholders
of its activities. This report is available on our website at
www.fidelity.ca, or you may request a copy, at no cost, by
sending us an email at [email protected] (for
assistance in English) or [email protected] (for
assistance in French).
Additional information about the IRC, including the names
of the members of the IRC, is available in the Funds’ annual
information form.
Custodian State Street Trust Company Canada
Toronto, Ontario
The custodian, or its sub-custodians, holds the investments
of the Funds and keeps them safe to ensure that they are
used only for the benefit of investors. The custodian is
independent of Fidelity.
Securities Lending Agent State Street Bank and Trust Company
Boston, Massachusetts
The securities lending agent acts as agent for those Funds
that engage in securities lending. The securities lending
agent is independent of Fidelity.
Registrar Fidelity Investments Canada ULC
Toronto, Ontario
As registrar, we keep a record of all unitholders of the
Funds, process orders, and issue account statements and
tax slips to unitholders.
Auditor PricewaterhouseCoopers LLP
Toronto, Ontario
The auditor is an independent chartered professional
accounting firm and it audits the annual financial statements
of each Fund.
Organization and management of the Funds (continued)
16
Portfolio adviser Fidelity Investments Canada ULC
Toronto, Ontario
The portfolio adviser makes the investment decisions for
the applicable Fund, buys and sells all the investments in
the Fund, and deals with brokers.
Sub-Advisers FIAM LLC
Smithfield, Rhode Island
Fidelity Investments Money Management, Inc.
Merrimack, New Hampshire
FIL Limited
Hamilton, Bermuda
FMR Co., Inc.
Boston, Massachusetts
FMR Investment Management (UK) Limited
London, U.K.
Fidelity (Canada) Asset Management ULC
Toronto, Ontario
(FCAM)
State Street Global Advisors Ltd.
Montreal, Quebec
(SSgA)
The portfolio adviser may engage one or more sub-advisers
to provide investment advice in connection with securities
purchased for a Fund.
FCAM is an affiliate of Fidelity.
SSgA provides investment services in connection with the
management of passive currency hedging for some Funds.
There may be difficulty in enforcing legal rights against the
sub-advisers, other than FCAM and SSgA, because they
are resident, and substantially all of their assets are
located, outside of Canada.
Certain of the Funds, that we refer to as Top Funds, may
invest some or all of their assets in underlying Fidelity
Funds. Because such underlying Fidelity Funds are also
managed by Fidelity, Fidelity does not vote the units of the
underlying Fidelity Funds. Instead, Fidelity may arrange for
such units to be voted by the Top Fund investors. If Fidelity
decides to arrange for Top Fund investors to vote, then
Fidelity asks each Top Fund investor for instructions on
how to vote that investor’s proportionate share of the
underlying Fidelity Fund units owned by the Top Fund, and
Fidelity then votes on that basis. In those circumstances,
Fidelity only votes the proportion of the underlying Fidelity
Fund units for which it has received instructions.
Purchases, switches and redemptions
17
You’ve considered your investment objectives and risk
tolerance. The next step is making your investment. The
following pages tell you how to invest in the Funds, how
much it costs and other important details.
Opening an account Before you make your first investment in the Funds, you
need to open an account. There are several different kinds
of Fidelity accounts, which we tell you about below.
You can open an account by contacting your financial
advisor and completing an application. You can also invest
in the Funds through accounts or plans offered by other
financial institutions. Ask your financial advisor for details.
How to buy, redeem or switch units of a series of a Fund The Funds are available in up to thirty-two series of units,
as specified on the cover page and as set out in each
Fund’s profile. The differences between the series are
described in the section Specific information about each
of the mutual funds described in this document.
Fidelity U.S. Dividend Registered Fund may only be
purchased by Eligible Investors. See Who should invest in
this fund? in the Fund’s profile. We reject an order from
anyone other than an Eligible Investor for this Fund.
Series A, B, S5, S8, T5 and T8 units of the Funds are
available to all investors.
Series C and D units of Fidelity Canadian Money Market
Fund are available only to investors enrolled in the Fidelity
ClearPlan® Custom Fund Portfolios program.
Investors cannot make an initial direct purchase into any of
Series E units. Series E units are available only to investors
who hold Series B or S5 units and then become eligible to
hold Series E units based on the value of their holdings in
the Fidelity Funds. These units are available in multiple tiers
according to the value of this investment. Once an investor
holds Series E units, the investor can then buy directly
additional Series E units of the applicable tier of the same
Fund or any other Fidelity Fund. Series E units are not
available to an investor enrolled in the Large Account
Program unless the investor chooses to permanently leave
the Large Account Program in order to hold Series E units.
Series F, F5 and F8 units are only available to investors
whose dealers have entered into appropriate eligibility
agreements with Fidelity. Investors may buy Series F units
in fee-based accounts at their dealers, where they pay fees
directly to their dealers. Investors may also buy Series F
units and pay fees to their dealers by entering into advisor
service fee agreements that authorize Fidelity to redeem
Series F units from their accounts that have a value equal
to the amount of the fees payable by them to their dealers,
plus applicable taxes, and to pay the proceeds to their
dealers.
Series O units of most of the Funds are only available to
institutional investors who may be individuals or financial
institutions who have been approved by us and have
entered into series O fund purchase agreements with us.
However, Series O units of the Investment Trusts, Fidelity
American Disciplined Equity® Currency Neutral Fund,
Fidelity Global Disciplined Equity® Currency Neutral Fund,
and Fidelity International Disciplined Equity® Currency
Neutral Fund are only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and are not available for public purchase.
Investors cannot make an initial direct purchase into any of
the Series P units. Series P units are available only to
investors who hold Series F or F5 units and then become
eligible to hold Series P units based on the value of their
holdings in the Fidelity Funds. These units are available in
multiple tiers according to the value of this investment.
Once an investor holds Series P units, the investor can then
buy directly additional Series P units of the applicable tier of
the same Fund or any other Fidelity Fund. Series P units
are not available to an investor enrolled in the Large
Account Program unless the investor chooses to
permanently leave the Large Account Program in order to
hold Series P units.
See the section Specific information about each of the
mutual funds described in this document for more
information about the series that you can invest in.
You can buy, redeem or switch units of the Funds through
any registered dealer.
When you buy, redeem or switch units of a Fund, we have
to determine what they’re worth. We do this by calculating
Purchases, switches and redemptions (continued)
18
the net asset value per unit. The net asset value per unit is
the basis of all transactions involving buying, redeeming,
switching or reinvesting units. See the Income tax
considerations for investors section for further details
about the tax consequences of buying, redeeming or
switching units.
Figuring out the net asset value per unit
Here’s how we calculate the net asset value per unit for
each series of a Fund:
We take the series’ proportionate share of all the
investments and other assets of the Fund.
We subtract the series’ liabilities and its proportionate
share of common Fund liabilities. That gives us the net
asset value for the series.
We divide that number by the total number of units
investors in that series hold. That gives us the net asset
value per unit.
To determine what your mutual fund investment is worth,
simply multiply the net asset value per unit for the series of
units you own by the number of units you own.
We buy, switch or redeem units for you on any day that the
Toronto Stock Exchange, or TSX, is open for trading. This
is called a valuation day. A valuation day usually ends at 4
p.m. Toronto time, unless the TSX closes earlier on that
day. We calculate the value of a Fund’s units on each
valuation day. In order to complete your transaction, we use
the first net asset value per unit that we calculate after
receiving your instructions.
We aren’t able to calculate the price of a series of a Fund
on a valuation day if it holds an underlying fund and the
security price of that underlying fund is not calculated on
that valuation day.
Minimum account size
Due to the high cost of administering accounts, you must
keep at least $500 in your account. If your account falls
below this amount, we may decide to redeem your units.
We give you 30 days to bring the value of your account up
to $500 before we redeem your units. The Funds and
certain series of the Funds may also be subject to minimum
investment amounts. These amounts are determined from
time to time by us, in our sole discretion. They may also be
waived by us, and are subject to change without prior
notice. The current minimum initial investment amounts are
set out on our website at www.fidelity.ca.
U.S. Dollar Option
All of the Funds (except Fidelity U.S. Money Market Fund)
are valued, and can be bought, in Canadian dollars. Fidelity
U.S. Money Market Fund is valued, and can be bought,
only in U.S. dollars. In addition, some series of some Funds
can be bought in U.S. dollars as well as Canadian dollars.
We indicate in the Fund details in each Fund’s profile if a
series can be bought using this U.S. dollar option.
The Canadian dollar net asset value for these Funds is
converted to U.S. dollars at the prevailing exchange rate for
a valuation day in order to determine the applicable U.S.
dollar net asset value. Other than the series of the Funds
indicated in the Fund profiles, no other Funds or series are
currently available for purchase in U.S. dollars. We may
offer the U.S. dollar option in respect of additional Funds or
series in the future.
For tax purposes, capital gains and losses are calculated in
Canadian dollars. As a result, if you buy and redeem units
under the U.S. dollar option, you need to calculate gains or
losses based on the Canadian dollar value of your units
when they were purchased and when they were sold. In
addition, although distributions are made in U.S. dollars,
they must be reported in Canadian dollars for Canadian tax
purposes. Consequently, all investment income is reported
to you in Canadian dollars for income tax purposes. You
may want to consult your tax advisor regarding this.
Our U.S. dollar option is offered only as a convenience. It
allows you to invest in certain Funds using your American
money. If you buy your units in U.S. dollars, you receive
U.S. dollars when you redeem them or receive distributions
from the Fund. Buying your units in U.S. dollars does not
affect the investment return of your Fund and, in particular,
does not hedge – or protect – against losses caused by
changes in the exchange rate between the Canadian and
U.S. dollars. If you wish to reduce your exposure to
currency fluctuations, you should consider an investment in
a Fidelity currency neutral fund.
19
About sales charges
You may pay a commission to invest in Series A, B, C, D,
E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, S5,
S8, T5 and T8 units of the Funds. This commission is also
called a sales charge. The commission compensates your
financial advisor for the advice and service he or she
provides to you. You can choose to purchase your units
under a purchase option for which the sales charges may
be payable at the time of purchase. This is called an initial
sales charge, and the amount you pay is negotiable with
your financial advisor. Alternatively, you can choose to wait
until you redeem your units and pay a percentage of their
original cost to us at that time. This is called a deferred
sales charge.
Series A, C, T5 and T8 units are available only under a
deferred sales charge option. Series B, D, E1, E1T5, E2,
E2T5, E3, E3T5, E4, E4T5, E5, E5T5, S5 and S8 units are
available only under the initial sales charge option.
You don’t pay any sales charges if you invest in Series F,
F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5 or
P5T5 units, which are only available to certain investors.
Paying when you buy your units
If you buy units under the initial sales charge option, you
may pay a sales charge at the time you purchase your
units. You and your financial advisor need to negotiate the
level of the initial sales charge. See the Fees and
expenses section for details. We may deduct the
percentage from the amount you invest and pay it to your
financial advisor’s dealer. See the Dealer compensation
section for details.
Paying when you redeem your units
If you choose to buy units under the deferred sales charge
option, we arrange for a commission payment to your
dealer at the time that you buy your units. See the Dealer
compensation section for details. When you redeem your
units, we deduct the sales charge, if any, as a percentage
of the cost of your units at the time you bought them. This
charge, which is paid to us, is called a deferred sales
charge because you put off paying it. The charge gets lower
the longer you hold your units. Under the deferred sales
charge option, the charge declines to 0% after six years,
under the low load deferred sales charge option, the charge
declines to 0% during the third year, and under the low load
2 deferred sales charge option, the charge declines to 0%
during the fourth year. You can find the schedules for these
deferred sales charge options in the Fees and expenses
section.
You do not pay a deferred sales charge if you:
Switch units from one Fund to another Fidelity Fund
(but a switch fee is possible).
Choose to receive distributions in cash.
Redeem units you received from reinvested
distributions.
Switching your deferred sales charge units
If you purchase Series A, T5 or T8 units under a deferred
sales charge option, or if you buy them under your Fidelity
ClearPlan® Custom Fund Portfolios program, you may elect
to have your units switched to Series B, S5 or S8 units,
respectively, which have lower management fees, at any
time after your deferred sales charge redemption fee
schedule expires. For units purchased under the deferred
sales charge option, this means that you can make this
election starting six years after the time of purchase. For
low load deferred sales charge units, you can make this
election starting two years after the time of purchase, and
for low load 2 deferred sales charge units, you can make
this election starting three years after the time of purchase.
Alternatively, if you purchase Series A, T5 or T8 units under
a deferred sales charge option, or if you buy them under
your Fidelity ClearPlan® Custom Fund Portfolios program,
your units are automatically switched to Series B, S5 or S8
units, respectively, which have lower management fees,
one year after your redemption fee schedule expires. For
units purchased under the deferred sales charge option,
this means that your units are switched seven years after
the time of purchase. For low load deferred sales charge
units, your units are switched three years after the time of
purchase, and for low load 2 deferred sales charge units,
your units are switched four years after the time of
purchase. These automatic switches are not implemented if
the value of the units to be switched is less than five dollars,
but are implemented once the value of the units to be
switched is five dollars or more.
Purchases, switches and redemptions (continued)
20
See the schedules for these deferred sales charge options
in the Fees and expenses section. This election and
automatic switch do not apply to Series C units of Fidelity
Canadian Money Market Fund.
10% free amount
Every calendar year, you can redeem up to 10% of the
original cost of your Series A, T5 or T8 units that would
otherwise be subject to the deferred sales charge at no
charge. You can also switch these units to Series B, S5 or
S8 units, respectively, which have lower management fees
and do not have a deferred sales charge. We call this the
10% free amount. The 10% free amount is calculated
based on the original cost of the units. Redemptions of your
10% free amount reduce your original cost (unless your
10% free amount includes the redemption of units you
received from reinvested distributions). For example, if you
invest $10,000 in year 0, in year 1 you can redeem $1,000
(i.e., 10% of $10,000) without paying a deferred sales
charge. In year 2 (provided you have not received any
distribution in cash or redeemed units you received from
reinvested distributions) you can redeem $900 (i.e., 10% of
$9,000) without paying a deferred sales charge. You can
use up your 10% free amount for a year in one redemption
or one switch, or spread it out over several redemptions or
switches, whichever you prefer. You can’t carry forward an
unused amount to the next year. However, if you have used
some or all of your 10% free amount and then receive
distributions in cash that cause you to exceed your 10%
free amount in a year, we may reduce your 10% free
amount by that excess amount the following year. We do
not automatically switch the 10% free amount of units
purchased under the deferred sales charge option to initial
sales charge units, so you may wish to switch those units in
order not to lose that entitlement. Units purchased under
the low load deferred sales charge option or the low load 2
deferred sales charge option are not eligible for the 10%
free amount.
You use up some of your 10% free amount if you:
Choose to receive distributions in cash. We reduce
your 10% free amount by the amount of the distribution.
Redeem units you received from reinvested
distributions. We reduce your 10% free amount by the
value of these units at the time they are reinvested.
If you switch units of one Fund to another Fidelity Fund, we
transfer the 10% free amount on the original units you held
to the new units that you acquire.
Series C units of Fidelity Canadian Money Market Fund are
not eligible for this program.
Order of redemptions
We follow the principles listed below to reduce your
redemption charges for units purchased under the deferred
sales charge option:
First, we redeem any of your 10% free amount that is
available (this reduces the amount of units you receive
from reinvested distributions that are available for
redemption).
Then, we redeem the remaining units you received
from reinvested distributions.
Next, units held for the longest time period are
redeemed first, and units held for the shortest time
period are redeemed last.
Receiving your distributions in cash or redeeming
reinvested distributions reduces your 10% free amount for
the year.
Since the 10% free amount is not available for the low load
deferred sales charge option and the low load 2 deferred
sales charge option, we first redeem the units you received
from reinvested distributions, and then units held for the
longest time period are redeemed first and units held for the
shortest time period are redeemed last.
21
How to buy Funds If we receive your order before 4 p.m. Toronto time on a
valuation day (which is any day that the TSX is open for
trading), we process your order as of that valuation day and
you pay the net asset value per unit calculated on that
valuation day for the units that you buy. Otherwise, we
process your order as of the next valuation day. If the TSX
closes earlier than 4 p.m. on a valuation day, we may
impose an earlier deadline for that valuation day. Any order
received after this earlier deadline is processed as of the
next valuation day. For more information on how we
calculate the net asset value per unit on a valuation day,
see Figuring out net asset value per unit earlier in this
section.
You have to pay for your units when you buy them. We do
not accept cash, money orders or traveller’s cheques for
the purchase of units. If we don’t receive payment in full
within two business days of receiving your order (one
business day for Fidelity Canadian Money Market Fund and
Fidelity U.S. Money Market Fund), we redeem the units that
you bought on the next valuation day or when we first learn
that your payment will not be honoured. A “business day” is
any day except, Saturday, Sunday or a Canadian holiday. If
we redeem the units for more than you paid, the Fund
keeps the difference. If we redeem the units for less than
you paid, we charge your dealer for the difference, plus any
costs. Your dealer may be entitled to recover any loss from
you.
If we receive your payment, but the documentation in
respect of your purchase for a Fidelity registered plan is
incomplete or missing instructions, we may invest your
money in Series B units of Fidelity Canadian Money Market
Fund at no sales charge. An investment in Fidelity
Canadian Money Market Fund earns you daily interest until
we receive complete instructions from you regarding which
Fund(s) you have selected, and all documentation in
respect of your purchase is received in good order. Your
total investment, including any interest, is then switched into
the Fund(s) you chose under the sales charge option that
you selected at the unit price of the Fund(s) on the date of
the switch.
What else you need to know
Here are some other important facts about buying the
Funds:
You receive a confirmation once we process your
purchase. The confirmation is a record of your
purchase, and includes details about the units that you
bought and any commission that you paid.
If you buy units through our pre-authorized chequing
plan, you receive a confirmation for your first purchase.
After that, you receive regular account statements.
You do not receive a confirmation when your Series A,
T5 or T8 deferred sales charge units are automatically
switched to Series B, S5 or S8 initial sales charge
units.
Units purchased under a deferred sales charge option
cannot be switched for units under a different deferred
sales charge option. For example, units purchased
under the low load deferred sales charge option cannot
be switched for units under the low load 2 deferred
sales charge option.
We don’t issue a certificate when you buy units of the
Funds. Instead, you get regular statements showing
how many units you own and their value.
We may refuse any order to buy within one business
day of receiving it. If we refuse your order, we return
your money to you.
Investors cannot make an initial direct purchase into
Series E or P units of a Fund. Series E units are
available only to investors who hold Series B or S5
units and then become eligible for Series E units.
Series P units are available only to investors who hold
Series F or F5 units and then become eligible for
Series P units. Once an investor holds Series E or P
units, the investor can buy directly the applicable tier of
Series E or P units of the same Fund or any other
Fidelity Fund.
Only Eligible Investors may invest in Fidelity U.S.
Dividend Registered Fund. See Who should invest in
this fund? in the Fund’s profile. If an investor in this
Fund is found not to be an Eligible Investor, Fidelity
Purchases, switches and redemptions (continued)
22
cancels or redeems that investor’s investment in the
Fund as soon as is reasonably practicable.
We may require investors who are U.S. citizens or
foreign investors to redeem their units if their
participation has the potential to cause regulatory or tax
problems. We may be required to withhold taxes on
distributions and/or redemption proceeds paid to U.S.
citizens or foreign investors. Speak with your financial
advisor for details.
We don’t accept orders to buy units during a period
when we’ve suspended unitholders’ right to redeem
units. See Suspending your right to redeem units
later in this section.
Switching to another series of the same Fund The following switches are permitted between series of the
same Fund.
Switching Series A units
You can switch from Series A units that you bought under a
deferred sales charge option to Series C, O, T5 or T8 units
of the same Fund. You may have to pay a fee to your
dealer. You negotiate that fee with your financial advisor.
See the Fees and expenses section for details.
You can also switch to Series B, F, F5, F8, S5 or S8 units
provided that your redemption fee schedule has expired.
See Switching your deferred sales charge units in this
section for details.
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
Switching Series B units
You can switch from Series B units that you bought under
the initial sales charge option to Series D, F, F5, F8, O, S5
or S8 units of the same Fund. You may have to pay a fee to
your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
Switching Series C units
You can switch from Series C units of Fidelity Canadian
Money Market Fund that you bought under a deferred sales
charge option to Series A units of that Fund. There is no fee
payable for this switch.
Switching Series D units
You can switch from Series D units of Fidelity Canadian
Money Market Fund that you bought under the initial sales
charge option to Series B, F or O units of that Fund. There
is no fee payable for this switch.
You can only switch to Series F units if you’re eligible for
this series or to Series O units with our approval.
Switching Series E and P units
Provided your dealer enters into the appropriate eligibility
agreement with Fidelity and can support Series E or P
units, we automatically switch your:
Series B and S5 units to the appropriate tier of the
applicable Series E units.
Series F and F5 units into the appropriate tier of the
applicable Series P units.
We do these automatic switches when your holdings in the
Funds and other Fidelity Funds exceeds $250,000, for an
individual, or $500,000, for a Series E/P financial group. See
the Fees and expenses section for details. If you hold units
of a Fund for which the appropriate tier of Series E or P units
is not available, your units are switched into the tier with the
lowest combined management and advisory and
Administration Fee that is available for that Fund.
Switches between Series E or P tiers are also automatic, so
an investor is always in the Series E or P tier with the
lowest combined management and advisory fees and
Administration Fees that the investor is eligible for, provided
a Fund offers that tier. The following table sets out the
investment thresholds for each tier.
23
Series Tier E1, E1T5, P1 or P1T5 $250,000 - $999,999 E2, E2T5, P2 or P2T5 $1,000,000 - $2,499,999 E3, E3T5, P3 or P3T5 $2,500,000 - $4,999,999 E4, E4T5, P4 or P4T5 $5,000,000 - $9,999,999 E5, E5T5, P5 or P5T5 $10,000,000+
Not all Series E and P tiers are currently available for each
Fund. Additional Series E and P tiers may be made
available from time to time. The series currently available
for each Fund are set out in the Fund’s profile.
Automatic switches generally take place in the following
circumstances:
When you purchase or redeem Fidelity Fund securities
that move you into, among, or out of Series E or P tiers.
When we launch Series E or P units of a Fidelity Fund
for which you are eligible.
When your Series E/P financial group is created or
changes in a way that moves you into, among, or out of
Series E or P tiers.
In addition, Fidelity automatically switches your units on the
second Friday of each month if positive market movement
has moved you into or among Series E or P tiers and your
units have not been automatically switched by any of the
other circumstances described above.
You can switch from Series E and P units to Series B, D, F,
F5, F8, O, S5 or S8 units of the same Fund. You may have
to pay a fee to your dealer. You negotiate that fee with your
financial advisor. See the Fees and expenses section for
details.
You can only switch your Series E units to Series F, F5 or
F8 units if you’re eligible for these series or to Series O
units with our approval.
Switching Series F units
You can switch from Series F units to Series B, D, F5, F8,
S5 or S8 units of the same Fund. You may have to pay a
fee to your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
You can only switch to Series O units with our approval. No
fee is payable for this switch.
Switching Series F5 units
You can switch from Series F5 units to Series B, F, F8, O,
S5 or S8 units of the same Fund. You may have to pay a
fee to your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
You can only switch to Series O units with our approval. No
fee is payable for this switch.
Switching Series F8 units
You can switch from Series F8 units to Series B, F, F5, O,
S5 or S8 units of the same Fund. You may have to pay a
fee to your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
You can only switch to Series O units with our approval. No
fee is payable for this switch.
Switching Series O units
You can switch from Series O units to Series A, B, D, F, F5,
F8, S5, S8, T5 or T8 units of the same Fund. You may have
to pay a fee to your dealer. You negotiate that fee with your
financial advisor. See the Fees and expenses section for
details.
You can only switch to Series F, F5 or F8 units if you are
eligible for these series. No fee is payable for this switch.
Switching Series S5 units
You can switch from Series S5 units that you bought under
the initial sales charge option to Series B, F, F5, F8, O or
S8 units of the same Fund. You may have to pay a fee to
your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
Switching Series S8 units
You can switch from Series S8 units that you bought under
the initial sales charge option to Series B, F, F5, F8, O or
S5 units of the same Fund. You may have to pay a fee to
your dealer. You negotiate that fee with your financial
advisor. See the Fees and expenses section for details.
Purchases, switches and redemptions (continued)
24
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
Switching Series T5 units
You can switch from Series T5 units that you bought under
a deferred sales charge option to Series A, O or T8 units of
the same Fund. You may have to pay a fee to your dealer.
You negotiate that fee with your financial advisor. See the
Fees and expenses section for details.
You can also switch to Series B, F, F5, F8, S5 or S8 units
provided that your redemption fee schedule has expired.
See Switching your deferred sales charge units in this
section for details.
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
Switching Series T8 units
You can switch from Series T8 units that you bought under
a deferred sales charge option to Series A, O or T5 units of
the same Fund. You may have to pay a fee to your dealer.
You negotiate that fee with your financial advisor. See the
Fees and expenses section for details.
You can also switch to Series B, F, F5, F8, S5 or S8 units
provided your redemption fee schedule has expired. See
Switching your deferred sales charge units in this
section for details.
You can only switch to Series F, F5 or F8 units if you’re
eligible for these series or to Series O units with our
approval.
What else you need to know
Switches of units of a Fund from one series to another
series of the same Fund do not result in a disposition for tax
purposes, unless units are redeemed to pay fees. The
amount of your investment, less any fee that is paid by
redeeming units, will be the same after the switch. You will,
however, own a different number of units because each
series has a different unit price.
Switching units to another Fidelity Fund You can switch units of a Fund for units of another Fidelity
Fund, including another Fund, by redeeming units of the
Fund and using the proceeds to buy units of the other
Fidelity Fund.
You may have to pay your dealer a switch fee. You
negotiate that fee with your financial advisor. A short-term
trading fee may also be payable. See the Fees and
expenses section for details.
The switch is done on the same sales charge option basis
that the original units were bought under. If you bought
units of the original Fund under a deferred sales charge
option, you don’t pay a deferred sales charge when you do
the switch. If you redeem units of the second Fidelity Fund
later on, you pay a deferred sales charge based on the date
when you bought units of the first Fund. See the Dealer
compensation section for details.
If you hold Series E or P units of a Fund and switch into a
Fund that does not offer an equivalent Series E or P tier,
your units are switched to the Series E or P tier with the
lowest combined management and advisory fees and
Administration Fee that is available for that Fund. If no
Series E units are offered by the Fund that you are
switching into, you are switched to Series B or S5 units, as
applicable. If no Series P units are offered by the Fund that
you are switching into, you are switched to Series F or F5
units, as applicable. If a tier of Series E or P units with lower
combined management and advisory fees and
Administration Fee for which you are eligible is launched by
the Fund at a later date, your Series E or P units will be
automatically switched to that more appropriate tier.
Only Eligible Investors may invest in Fidelity U.S. Dividend
Registered Fund. See Who should invest in this fund? in
the Fund’s profile.
Switching units of a Fund for units of another Fidelity Fund
is a disposition and acquisition for tax purposes and may
trigger a capital gain or loss. Any capital gain realized on
units you hold outside a registered plan may be subject to
tax. For more information about how capital gains are
taxed, see the Income tax considerations for investors
section.
25
How to redeem the Funds You can cash in your Fund by selling your units back to the
Fund. This is called a redemption. You receive the net
asset value per unit calculated on the valuation day we
receive your order to redeem your units. We deduct any
deferred sales charge or fees and send you the balance.
You must put your order to redeem in writing and sign it. An
acceptable guarantor must guarantee your signature if the
redemption is for $25,000 or more. If a corporation,
partnership, agent, fiduciary or surviving joint owner holds
the units, we may also ask for other documents.
If we receive your order before 4 p.m. Toronto time on a
valuation day (which is any day the TSX is open for
trading), we process your order as of that valuation day.
Otherwise, we process your order as of the next valuation
day. If the TSX closes earlier than 4 p.m. on a valuation
day, we may impose an earlier deadline for that valuation
day. Any order received after this earlier deadline is
processed as of the next valuation day. See Figuring out
the net asset value per unit in this section for more
information on how we calculate the net asset value per unit
on a valuation day. You receive your money back in the
same currency you used to buy the Fund. We may charge
you a fee of up to $25 if you request your money back by
cheque. There is no fee for electronic deposits.
We don’t process orders to redeem for:
A past date.
A future date.
A specific price.
Any units that haven’t been paid for.
We send you your money within two business days of
receiving your order, as long as your order is complete (one
business day for Fidelity Canadian Money Market Fund and
Fidelity U.S. Money Market Fund). For units denominated in
U.S. dollars, if the settlement day is a U.S. holiday, we send
your money on the next business day that is not a U.S.
holiday. A business day does not include Saturdays,
Sundays or Canadian holidays. If we don’t receive your
properly completed order within 10 business days of the
sale, we buy back the units you sold on the next valuation
day. If we buy them back for less than you sold them for,
the Fund keeps the difference. If we buy them back for
more than you sold them for, we charge your dealer for the
difference, plus any costs. Your dealer may be entitled to
recover any loss from you.
We may charge you a deferred sales charge or a switch
fee, along with a short-term trading fee, when you redeem
or switch units. See the Fees and expenses section for
details.
Where the holding of units by a unitholder is, in the
reasonable opinion of Fidelity, detrimental to a Fund,
Fidelity is entitled to redeem the units held by the
unitholder. For example, only Eligible Investors may invest
in Fidelity U.S. Dividend Registered Fund. See Who
should invest in this fund? in the Fund’s profile. If an
investor in this Fund is found not to be an Eligible Investor,
Fidelity will cancel or redeem that investor’s units in the
Fund as soon as is reasonably practicable. These
measures are necessary to aim to preserve the intended
tax treatment for the Fund.
Suspending your right to redeem units On rare occasions, we may temporarily suspend your right
to redeem your Fund units and postpone paying your sale
proceeds. We can only do this under the following
circumstances:
If normal trading is suspended on any exchange on
which securities or derivatives that make up more than
half of the Fund’s total assets by value are traded and
these securities or derivatives aren’t traded on any
other exchange that is a reasonable alternative for the
Fund.
If we receive permission from the Ontario Securities
Commission.
If the right to redeem units of an underlying fund is
suspended, we automatically suspend the redemption
of units of any Fund that is linked to that underlying
fund.
Purchases, switches and redemptions (continued)
26
If we receive your order to redeem on a day when we’ve
suspended the calculation of net asset value per unit, you
can withdraw your order before the end of the suspension
period or you can redeem your units based on the net asset
value per unit calculated on the first valuation day after the
suspension ends.
Short-term trading In general, the Funds are considered long-term
investments. Inappropriate short-term or excessive trading
can hurt a Fund’s performance by forcing the portfolio
management team to keep more cash in the Fund than
would otherwise be needed, or to sell investments at an
inappropriate time, and may also increase the Fund’s
transaction costs, affecting all investors of that Fund.
Fidelity has adopted policies and procedures to monitor,
detect, and deter short-term or excessive trading. These
policies and procedures are designed to protect unitholders
from other investors moving quickly in and out of the Funds.
A short-term trading fee may be charged to deter
individuals from using the Funds as short-term investment
vehicles. See the Fees and expenses section for details.
Short-term trading fees are paid to the Fund affected, and
are in addition to any sales charge or switch fee. The fee is
deducted from the amount you redeem or switch, or it is
charged to your account, and is retained by the Fund. The
types of trades that the short-term trading fee don’t apply to
include:
If you redeem or switch units purchased by reinvesting
distributions.
Switches to different series within the same Fund,
including when you are automatically switched into,
among, or out of Series E or P tiers.
Units sold as part of a fund-of-fund program or a similar
pooled investment program.
Units sold for retirement income fund or life income
fund payments.
Units sold for systematic transactions, such as
automatic exchanges, pre-authorized chequing plans,
and systematic withdrawal programs.
Currency exchange transactions.
Units sold to pay management fees, Administration
Fees, service fees, operating expenses, or Fund Costs.
Units sold as part of the Fidelity ClearPlan® Custom
Fund Portfolios program.
Payments made as a result of the death of the
unitholder.
In addition, Fidelity may consider the following when
determining whether a short-term trade or excessive trade
is inappropriate or excessive:
Bona fide changes in unitholder circumstances or
intentions.
Unanticipated financial emergencies.
While we actively take steps to monitor, detect, and deter
short-term or excessive trading, we cannot ensure that all
such activity is completely eliminated.
Sizable transactions In general, sizable transactions by certain investors can
disadvantage other investors in a Fund. Fidelity has
adopted policies and procedures to help minimize the
potential impact of sizable purchases and redemptions by
an investor on a Fund’s other unitholders.
A retail investor will be deemed to become a sizable investor (a “Sizable Investor”) under the policies and
procedures when a purchase/switch into a Fund will cause
the investor to own:
More than $5 million where the Fund’s total net assets
are less than $100 million; or
More than 5% of the Fund where the Fund’s total net
assets are equal to or greater than $100 million.
We will notify you once you become a Sizable Investor in a
Fund.
If you are a Sizable Investor, you will be required to provide
notice to Fidelity of sizable redemptions as follows:
Three business days’ notice for redemptions
constituting 3% or greater, but less than 10% of the
Fund’s total net assets; and
27
Five business days’ notice for redemptions constituting
10% or greater of the Fund’s total net assets.
On or after April 1, 2017, Sizable Investors of a Fund will be
subject to a 1% penalty of the value of the units that they
sell/switch if they sell/switch their units of the Fund within 30
days of their most recent purchase/switch into the Fund.
Sizable investors may be subject to a 1% penalty of the
value of the units if they fail to provide the required notice to
Fidelity prior to completing a sizable redemption. This fee
goes to the Fund.
If the sell/switch transaction would be subject to both a
sizable redemption fee and a short-term trading fee, the
Sizable Investor will only be subject to the sizable
redemption fee. For greater certainty, the total penalty
applied will not exceed 1% of the value of the units
sold/switched.
Where a Fund invests substantially all of its assets in one
underlying Fidelity Fund, we calculate the foregoing
thresholds and notice periods using the total net assets of
the underlying Fidelity Fund.
See Large transaction risk in What is a mutual fund and
what are the risks of investing in a mutual fund, Short-
term trading fee and Fee for sizable redemptions in
Fees and expenses for further details.
Optional services
28
We offer the following plans to make it easier to buy and
redeem the Funds. To sign up for a plan, contact your
financial advisor or call us for details.
Pre-authorized chequing plan Our pre-authorized chequing plan lets you invest a small
amount at regular intervals. This can be an affordable and
effective way to build your investments. Putting a little away
at a time is a good way to get into the habit of investing.
Here are some facts about our pre-authorized chequing
plan:
You can invest as little as $25 each time. Just tell us
how much you want to invest and when.
We withdraw the money directly from your bank
account and invest it in the Funds you choose.
You can change how much you invest and how often,
or cancel the plan, whenever you like.
There are no fees for the plan, other than any sales
charges.
When you enrol in our pre-authorized chequing plan, you
receive a copy of the Funds’ most recently filed fund facts.
Thereafter, we only send you the most recently filed fund
facts upon request. You can request that a copy of the most
recently filed fund facts be sent to you at the time you enrol
in our pre-authorized chequing plan, or at any time
thereafter, by calling us toll-free at 1-800-263-4077, by
sending us an e-mail at [email protected] (for
assistance in English) or [email protected] (for
assistance in French), or by asking your financial advisor.
You can also find the most recently filed fund facts at
www.sedar.com or on our website at www.fidelity.ca.
You have a statutory right to withdraw from an initial
purchase of the Funds under our pre-authorized chequing
plan, but you do not have a statutory right to withdraw from
subsequent purchases of the Funds under the pre-
authorized chequing plan. However, you continue to have
all other statutory rights under securities law, including a
misrepresentation right as described in the section What
are your legal rights?, whether or not you have requested
the most recently filed fund facts.
Systematic withdrawal program Our systematic withdrawal program lets you withdraw a
fixed amount from your Funds at regular intervals. This is
an easy way to receive cash, while giving the rest of your
money the chance to grow.
Here are some facts about our systematic withdrawal
program:
The systematic withdrawal program is available for
non-registered accounts only.
You can take out as little as $50 each time, as long as
you have at least $5,000 in your account when you
start the withdrawal program.
You choose when you receive your money – e.g.,
monthly, quarterly, or every six months. We send you a
cheque or deposit the money directly into your bank
account. We may charge you a fee of up to $25 if you
request your payment by cheque.
There are no other fees or charges for the withdrawal
program other than any deferred sales charges or
short-term trading fees, if applicable.
You can cancel the withdrawal program by telling us in
writing.
Series C and D units of Fidelity Canadian Money
Market Fund are not eligible for this service.
It’s important to remember that if your regular withdrawals
are more than what your Fund is earning, you’ll eventually
use up your original investment.
Systematic exchange program Our systematic exchange program lets you move money
from one Fund to another Fund at regular intervals.
Here are some facts about our systematic exchange
program:
Systematic exchanges can be processed for either a
fixed dollar amount or a specific number of units.
You choose how often the exchange occurs – e.g.,
twice a month, monthly, every two months, quarterly,
semi-annually or annually.
29
You may be charged a short-term trading fee or you
may have to pay your dealer a switch fee when you
switch units from one Fund to another Fund. See the
Fees and expenses section for details.
Systematic exchanges may trigger capital gains or
capital losses.
Fidelity ClearPlan® Custom Fund Portfolios Our Fidelity ClearPlan® Custom Fund Portfolios (“ClearPlan®”) program lets you invest in any number of
Fidelity Funds (other than the Fidelity ClearPath®
Retirement Portfolios) with specific target fund allocations
selected by you. In this way, with the help of your financial
advisor, you can create your own customized portfolio of
investments. We then rebalance your holdings from time to
time, based on your chosen frequency and deviation, in
order to make sure that your portfolio mix is allocated in
accordance with your instructions. Rebalancing may trigger
capital gains or losses.
Program options
The ClearPlan® program has two types of rebalancing
options you can choose from.
Fixed rebalancing option
You can choose which Fidelity Funds you want to invest in,
and fix the percentages to be invested in each Fidelity
Fund. We then see to it that your portfolio is rebalanced
back to your specified target allocations, either quarterly,
semi-annually, or annually. This is known as the fixed
rebalancing option. This program can be for an indefinite
period, and you can change your specified target
allocations or rebalancing frequency at any time.
Custom rebalancing option
Alternatively, you can have a customized portfolio of Fidelity
Funds with target fund allocations that change over a
designated period of time. You specify what your portfolio
should consist of at the time you start, both in terms of
asset mix and fund selection, and what it should look like by
the time the end date is reached. You can also select up to
five specific portfolio mixes for different points in time
between the start and end dates. We see to it that your
portfolio is rebalanced to reflect the different portfolio mixes
you selected for each designated point in time. This is
known as the custom rebalancing option. This program
must be for a period of at least 3 years and for no longer
than 60 years.
Fund eligibility
All of our Canadian dollar-denominated Fidelity Funds
(other than the Fidelity ClearPath® Retirement Portfolios), in
all series except Series O units, are eligible for this
program. Any Fidelity Fund where your investment is made
in U.S. dollars is not eligible to be included in this service.
Only Eligible Investors may invest in Fidelity U.S. Dividend
Registered Fund. See Who should invest in this fund? in
the Fund’s profile. You may also hold Fidelity Funds
separate and apart from your ClearPlan® Portfolio if you
choose.
How to participate
To participate in this program, you must have a minimum of
$10,000 to invest in your ClearPlan® portfolio, and you must
complete and sign our application form made specifically for
this program. By completing the application, you authorize
us to monitor your ClearPlan® portfolio, and to rebalance it
at intervals selected by you, which can be quarterly,
semi-annually, or annually, so that your ClearPlan® portfolio
is allocated in accordance with your instructions.
In order to facilitate investing in the service, we have
created two special series of Fidelity Canadian Money
Market Fund - Series C and D. Series C units can only be
purchased under a deferred sales charge option and
Series D units can only be purchased under the initial sales
charge option. When you enrol in the program, your
investment is placed initially in units of one of these two
series. The choice you make regarding whether to
purchase Series C or D units of Fidelity Canadian Money
Market Fund should correspond with your preferred sales
charge option for the Fidelity Funds that will comprise your
portfolio.
Upon activation of your rebalancing program, your Series C
or D units of Fidelity Canadian Money Market Fund are
automatically redeemed (at no charge), and the proceeds
are allocated among the various Fidelity Funds you have
Optional services (continued)
30
elected to include in your rebalancing portfolio. Series C
and D units of Fidelity Canadian Money Market Fund are
only for use with the portfolio rebalancing program. If you
are invested in one or both of these series, and have not
activated your rebalancing program within 90 days, you are
automatically switched to Series A or B units (based on
your sales charge option) of Fidelity Canadian Money
Market Fund.
Short-term trading fees, discussed in the Fees and
expenses section, are not payable for trades made as part
of your portfolio rebalancing program portfolio while you are
enrolled in the ClearPlan® program.
You do not pay a switch fee when you switch Series C or D
units of Fidelity Canadian Money Market Fund to any other
Fund as part of your portfolio rebalancing program.
Here are some other facts about our ClearPlan® program:
We only act on your standing trade instructions, which
must be given to us by your financial advisor.
Your financial advisor can help you with your selection
of Fidelity Funds to make sure that they are suitable for
you, as well as with your choice of rebalancing options
and frequency. Your financial advisor, as your agent,
and not Fidelity, is responsible for assessing your
continued suitability for this program.
Rebalancing occurs at the intervals you specify,
provided the market value of your holdings is between
two and ten percentage points (you select the
deviation, which must be in increments of
0.5 percentage points) above or below your stated
target allocation at the time.
You tell us if you want the rebalancing done quarterly,
semi-annually, or annually.
If you redeem all of your investments in a Fund that
was part of your target fund allocation without providing
us with new standing instructions through your financial
advisor, then at the time of your next scheduled
rebalancing, we rebalance the remaining Fidelity Funds
in your portfolio and proportionately reallocate your
investments among the same Fidelity Funds in your
target fund allocation (which would include the Fidelity
Fund for which you would have just redeemed your
units).
You always retain the option of changing your target
allocation, rebalancing options, or rebalancing
frequency of your portfolio by providing written
instructions to us through your financial advisor. You
may also request a manual rebalancing of your portfolio
outside of the scheduled automatic rebalancing period
at any time. In some cases, a manual rebalancing may
trigger short-term trading fees. See the Purchases,
switches and redemptions section for details of our
short-term trading policy.
There are no separate fees for this program. Any
applicable Fidelity Fund charges apply.
Rebalancing transactions could trigger a capital gain or
loss.
All of the terms and conditions of the program are on our
application forms, which are available from your financial
advisor or on our website at www.fidelity.ca.
Registered plans Registered plans receive special treatment under the
Income Tax Act (Canada) (the “Tax Act”). A key benefit is
that generally you don’t pay tax on the money earned in
these plans until you withdraw the money from the
registered plans. Earnings withdrawn from your Tax-Free
Savings Accounts are not subject to tax. In addition,
contributions to an RRSP are deductible from your taxable
income, up to your allowable limit.
We offer the following Fidelity registered plans:
Registered Retirement Savings Plans (RRSPs).
Locked-in Retirement Accounts (LIRAs).
Locked-in Retirement Savings Plans (LRSPs).
Restricted Locked-in Savings Plans (RLSPs).
Registered Retirement Income Funds (RRIFs).
Life Income Funds (LIFs).
Locked-in Retirement Income Funds (LRIFs).
Prescribed Retirement Income Funds (PRIFs).
31
Restricted Life Income Funds (RLIFs).
Tax-Free Savings Accounts (TFSAs).
Registered Education Savings Plans (RESPs) (with the
ability to accept supplemental grants from
Saskatchewan, British Columbia and Quebec).
You can open any of these plans by investing in any of the
Funds (except for the Investment Trusts, Fidelity American
Disciplined Equity® Currency Neutral Fund, Fidelity
International Disciplined Equity® Currency Neutral Fund and
Fidelity Global Disciplined Equity® Currency Neutral Fund,
which are not available for public purchase and are not
qualified investments for registered plans). There are no
annual administration fees or fees to open, maintain, or
close a plan. Contact Fidelity or your financial advisor for
more information about these plans.
Fees and expenses
32
The fees and expenses you may have to pay if you invest in the Funds are shown in each Fund’s profile. You may have to
pay some of these fees and expenses directly. The Funds pay some of these fees and expenses, which reduce the value of
your investment.
Fees and expenses payable by the Fund
Management and Advisory Fees
Each Fund pays annual management and advisory fees for the management of the Fund, and for the investment
management of its portfolio. The fees are used to pay expenses, like employee salaries, research costs, trailing
commissions, and promotional expenses. The fees are calculated as a percentage of the net assets of each series of the
Fund (except Series O units), and are accrued daily and paid monthly. The management and advisory fees are subject to
harmonized sales tax and other applicable taxes, called Sales Tax. In some cases, Fidelity may waive its right to receive a
portion of the management and advisory fees.
The annual management and advisory fees for each series of units of a Fund, other than Series O, is shown in each Fund’s
profile. We charge a negotiated management fee directly to investors in Series O units of the Funds (which fee is no greater
than the maximum of the Series F annual management and advisory fee), excluding the Investment Trusts, Fidelity
American Disciplined Equity® Currency Neutral Fund, Fidelity International Disciplined Equity® Currency Neutral Fund and
Fidelity Global Disciplined Equity® Currency Neutral Fund. These Funds are only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised by Fidelity, and do not pay management and advisory fees.
33
Operating expenses
All series, except Series O
For each series of the Funds, except Series O, Fidelity pays
all of the operating expenses (including for services
provided by Fidelity and/or its affiliates), except for certain
costs described below that we refer to as Fund Costs, in
exchange for a fixed rate administration fee that we refer to
as the Administration Fee. The Administration Fee is paid
by the Funds (except Fidelity Canadian Money Market
Fund, Fidelity U.S. Money Market Fund and Series E and
Series P units of Fidelity Canadian Short Term Bond Fund)
in respect of these series. The Administration Fee is subject
to Sales Tax.
The Fund Costs include the following:
The fees and expenses of the IRC, which includes
compensation paid to IRC members as an annual
retainer, as well as per meeting attendance fees, and
the reimbursement of applicable expenses of IRC
members.
Taxes, including income tax and Sales Tax on fees and
expenses paid by the Funds.
Portfolio transaction costs, including brokerage
commissions and other securities transaction related
expenses, including the costs of derivatives and foreign
exchange transactions.
Interest and borrowing costs.
Any new fee related to external services that was not
commonly charged in the Canadian mutual fund
industry as of September 10, 2009.
The costs of complying with any new regulatory
requirement, including any new fee introduced after
September 10, 2009.
Each series is responsible for its proportionate share of
common Fund Costs in addition to expenses that it alone
incurs.
The operating expenses borne by Fidelity in exchange for
the Administration Fee include: transfer agency; pricing and
bookkeeping fees, which include processing purchases and
sales of units of the Funds and calculating each Fund’s unit
price; legal, audit and custodial fees; administrative costs
and trustee services relating to registered tax plans; filing
fees; the costs of preparing and distributing the Funds’
financial reports, simplified prospectus, fund facts, and the
other investor communications that Fidelity is required to
prepare to comply with applicable laws; and other expenses
not otherwise included in the management and advisory
fees.
The Administration Fee falls under one of three tiers,
depending on the amount of net assets of a Fund. The
three tiers are: less than $100 million in net assets;
$100 million to $1 billion in net assets; and greater than
$1 billion in net assets. As a Fund surpasses these net
asset level thresholds, the Administration Fee on each of its
series is reduced by 0.01% (i.e., one basis point), except for
Series B and F units of Fidelity Canadian Short Term Bond
Fund. The Administration Fee is calculated as a fixed
annual percentage, accrued daily and payable monthly, of
the net asset value of each Fund (except Fidelity Canadian
Money Market Fund, Fidelity U.S. Money Market Fund and
Series E and Series P units of Fidelity Canadian Short
Term Bond Fund). The Administration Fee for each series
of units of each Fund is shown in the Fund’s profile.
The Administration Fee is charged in addition to the
management and advisory fees, and is subject to Sales
Tax. The Administration Fee charged to the Funds (other
than Fidelity Canadian Money Market Fund, Fidelity U.S.
Money Market Fund and Series E and P units of Fidelity
Canadian Short Term Bond Fund, which are not charged an
Administration Fee) may, in any particular period, exceed or
be lower than the expenses Fidelity incurs in providing such
services to the Funds. Currently, the Administration Fee
exceeds the expenses that Fidelity incurs in providing these
services.
Fidelity may waive a portion of the Administration Fee that it
receives from the Funds or from certain series of the Funds.
As a result, the Administration Fee payable by each Fund
or a series of a Fund may be lower than the fees shown in
the Fund profiles. Fidelity may, in its sole discretion,
suspend or cease to offer any waiver at any time without
notice.
Fees and expenses (continued)
34
IRC fees and expenses
As of the date of this simplified prospectus, each member of
the IRC receives an annual retainer of $40,000 ($60,000 for
the Chair) and a fee of $2,500 ($4,000 for the Chair) for
each IRC meeting the member attends, plus expenses for
each meeting. These fees and expenses, plus other
expenses associated with the IRC, such as insurance and
applicable legal costs, are allocated among all the Fidelity
Funds that are subject to NI 81-107, including the Funds, in
a manner considered by Fidelity to be fair and reasonable.
The aggregate compensation paid to the IRC with respect
to the Funds that have a year-end of June 30, was
$149,654.23 and the aggregate compensation paid to the
IRC with respect to the Funds that have a year-end of
March 31 was $43,460.46.
As Fidelity NorthStar® Currency Neutral Fund, Fidelity
Multi-Sector Bond Fund, and Fidelity Multi-Sector Bond
Currency Neutral Fund are new, none of the costs of the
IRC have been allocated to them as of the date of this
simplified prospectus.
Series O
Fidelity pays all of the operating expenses and other costs
incurred by the Funds in respect of Series O units (including
for services provided by Fidelity and/or its affiliates), except
for the following:
Taxes, including, but not limited to, income tax.
Brokerage commissions and other securities
transaction expenses, including the costs of derivatives
and foreign exchange transactions.
Interest charges.
Sales Tax paid by the Funds
The Funds are required to pay the Sales Tax on
management and advisory fees, administration fees, and
most of the Fund Costs at a rate determined separately for
each series for each year. The rate that ultimately applies to
the fees and expenses paid during a year for a series is
determined based on the portion of the net asset value of
the series attributable to investors resident in each province
or territory at a certain point in time during the prior year
and the Sales Tax rate for each of those provinces or
territories. The rate is different from year to year. This
happens because different unitholders invest in the different
series, and the unitholders who invest in each series
change from year to year because of purchases, switches,
and redemptions.
Fee reductions
Some investors in the Funds, such as large investors,
group plans, charitable or not-for-profit organizations, and
Fidelity employees, may be eligible for reduced fees. We
reduce the fees we charge and the Fund makes a special
distribution equal to such amount to the investor, unless
you hold Series E or P units. We refer to this special
distribution as a fee distribution. The fee distribution is paid
first out of net income and net realized capital gains of the
Fund, and then out of the capital of the Fund. Fee
distributions are automatically reinvested in additional units
of the relevant series of the Fund, and are not paid to
investors in cash. We may, in our sole discretion, increase,
decrease, or cease to make any fee distribution to any
investor at any time.
Series E and P units
The Funds that offer Series E or P units pay a combined
management and advisory fees and Administration Fee
based on a tiered structure. The tier of Series E or P units
that you may be eligible to hold is based on your total
investments with us, as follows:
Series Tier E1, E1T5, P1 or P1T5 $250,000 - $999,999 E2, E2T5, P2 or P2T5 $1,000,000 - $2,499,999 E3, E3T5, P3 or P3T5 $2,500,000 - $4,999,999 E4, E4T5, P4 or P4T5 $5,000,000 - $9,999,999 E5, E5T5, P5 or P5T5 $10,000,000+
Not all Series E and P tiers are currently available for each
Fund. The higher the Series E and P tier, the lower the
combined management and advisory fees and
Administration Fees associated with holding those units.
An investor only becomes eligible to hold Series E or P
units once the investor’s holdings in the Funds and other
Fidelity Funds reaches a minimum of $250,000, for an
individual, or $500,000, for a Series E/P financial group,
provided that the Series E/P financial group has a primary
35
account holder who holds Fidelity Funds valued at a
minimum of $250,000.
Fidelity offers the following account-linking program to you if
your dealer and your financial advisor choose to participate.
This program is optional for your dealer and your financial
advisor. If your dealer and your financial advisor participate
in this account-linking program, your financial advisor must
complete an “Account Linking Form”. This form requires
you to advise your financial advisor of the accounts that
qualify to be part of the Series E/P financial group. You are
responsible for ensuring that your financial advisor is aware
of all of the accounts that should be linked or listed in the
Account Linking Form. Once a Series E/P financial group is
created, the primary account holder can leave that Series
E/P financial group without consequence to the Series E/P
financial group, as long as the Series E/P financial group
maintains minimum total investments with us, as set out
below.
A Series E/P financial group is all accounts held by the
primary account holder, who must be an individual holding
a minimum of $250,000 in Fidelity Funds, and the following
individuals and entities that are related to that investor:
The primary account holder’s spouse, at the primary
account holder’s election, former spouses may remain
part of the Series E/P financial group.
The primary account holder’s children, grandchildren
and great-grandchildren, in each case, including
adoptive and step-children, and the spouses of these
persons.
Accounts in the names of companies for which one or
more members of the Series E/P financial group are
beneficial owners of greater than 50% of the voting
equity.
In all cases the accounts must be held with the same
financial advisor and dealer. You should let your financial
advisor know of any such relationship. To create a Series
E/P financial group, your dealer must complete and submit
an account linking form and disclose the accounts that are
part of the Series E/P financial group. Once a Series E/P
financial group is created, the primary account holder can
leave that Series E/P financial group without consequence
to the Series E/P financial group as long as the Series E/P
financial group maintains a minimum total investment with
us of $250,000.
Unless an individual’s total investments with us falls below
$150,000 or a Series E/P financial group’s total holdings
with us falls below $250,000, we do not switch investors out
of:
Series E units and back into Series B or S5 units.
Series P units and back into Series F or F5 units.
These minimums are intended to provide investors with
flexibility in connection with major life events. We reserve
the right to switch investors and Series E/P financial groups
out of Series E or P units if, in our view, the investor or the
members of the Series E/P financial group are misusing this
flexibility to fall below the applicable initial investment
minimum.
Once you are invested in Series E or P units, the
calculation of your total investments with us for the
purposes of moving you between Series E or P tiers, and
determining whether you remain eligible for Series E or P
units, is based on the following:
Only redemptions decrease the amount of total
investments with us for the purposes of the calculation.
Market value declines in your or your Series E/P
financial group’s accounts do not result in decreases of
the amount of total investments with us for the
purposes of the calculation.
In the case of Series F, F5, F8 and P units, while
Fidelity will, on your instructions, redeem units of your
Funds and send the proceeds of redemption to your
dealer in payment of advisor service fees (plus
applicable taxes), these redemptions decrease the
amount of total investments with us for the purposes of
the calculation.
Market value increases and/or any additional
investment you make in your or your Series E/P
financial group’s accounts can move you to a higher
Series E or P tier. Market value increases and any
additional investment you make create a “high water
mark”, and are the amount upon which we determine
your Series E or P tier, as applicable, and the amount
Fees and expenses (continued)
36
from which we deduct any redemption, regardless of
any market value declines that occur after the high
water mark is set.
We may, in our sole discretion, make changes to this
program, including changing or eliminating Series E or P
tiers, the account minimum for individuals, the account
minimum or composition rules for Series E/P financial
groups, or ceasing to offer Series E or P units altogether.
Speak with your financial advisor for details about this
program.
Large Account Program
We also offer a program for large investors that we call our
Large Account Program or LAP. Under this program, our
decision to reduce the typical fees depends on a number of
factors, including the size of the investment and the
investor’s total investments with us. We currently only
consider an investor a “large investor” for purposes of
considering a fee reduction if the holdings with Fidelity are a
minimum of $250,000 individually, or $500,000 for a LAP
financial group. A LAP financial group is all accounts held
by related persons living at the same address, and includes
accounts in the names of companies for which one or more
members of the LAP financial group are beneficial owners
of greater than 50% of the voting equity. You can obtain
further details by contacting your financial advisor.
The Large Account Program is closed to new individuals
who are not related to existing LAP participants. For
existing participants in the LAP, Fidelity offers the fee
reductions set out in the chart below, provided the
conditions set out below are met. We may, at our discretion,
offer different tiers and larger fee reductions to investors or
LAP financial groups that invest greater than $10 million in
the Fidelity Funds.
Fee Reductions (basis points)
Tier 1
(Individual Accounts)
Tier 2
(Individual and LAP Financial Groups)
Tier 3
(Individual and LAP Financial
Groups)
Fund Type $250k-$500k $500k-$5M Greater than $5M
The Money Market Funds 0 5 5
The Fixed Income Funds, Fidelity ClearPath® Income Portfolio and Fidelity
5 5 5
Fee Reductions (basis points)
Tier 1
(Individual Accounts)
Tier 2
(Individual and LAP Financial Groups)
Tier 3
(Individual and LAP Financial
Groups)
Fund Type $250k-$500k $500k-$5M Greater than $5M
ClearPath® 2005 Portfolio
Fidelity Canadian Balanced Fund, Fidelity Monthly Income Fund, Fidelity Dividend Fund, Fidelity Dividend Plus Fund, Fidelity Income Allocation Fund, Fidelity ClearPath® 2010 Portfolio, Fidelity ClearPath® 2015 Portfolio, Fidelity Income Portfolio, Fidelity Global Income Portfolio, Fidelity Conservative Income Fund and Fidelity Conservative Managed Risk Portfolio
5 10 15
All other Fidelity Funds 10 15 20
These reductions apply to each dollar invested with Fidelity
that is part of the LAP. For example, if an investor has
assets that fall within the Tier 2 category, each dollar
invested as part of the LAP receives the applicable
reduction. LAP is available in respect of all the Fidelity
Funds in all series. As a condition of participation in the
LAP, we require a reduction to the applicable trailing
commission that we would otherwise pay to the dealer
(except for Series F, F5, F8 and O units, where no trailing
commission is typically paid), a portion of which would be
received by the investor’s financial advisor. The expected
reduction is a minimum of 5 basis points for fixed income
and money market funds (including Fidelity ClearPath®
Income Portfolio, Fidelity ClearPath® 2005 Portfolio, Fidelity
Income Portfolio, Fidelity Global Income Portfolio and
Fidelity Conservative Managed Risk Portfolio), and 10 basis
points for all other Funds, regardless of asset level. The
amount of this trailing commission reduction is payable to
the investor in the same manner as the fee reductions
described above. To determine the total reduction payable,
you add the fee reduction from Fidelity to the trailing
commission reduction from your dealer.
You cannot participate in the LAP and also hold Series E or
P units. Existing LAP participants may choose to
permanently move to Series E or P pricing, or you may
continue to participate in the LAP.
37
We may, in our sole discretion, make any change to this
program, including increasing or decreasing the reductions
available, changing or eliminating the tiers, or ceasing to
offer them altogether. Speak with your financial advisor for
details about this program.
Underlying funds fees and expenses
Where a Fund invests, directly or indirectly, in one or more
underlying funds, the fees and expenses payable for the
management and advisory services of the underlying funds
are in addition to those payable by the Fund. However, we
make sure that any Fund that invests in another Fidelity
Fund or another underlying fund does not pay duplicate
management and advisory fees or expenses on the portion
of its assets that it invests in the underlying Fidelity Fund or
another underlying fund for the same service. In addition,
any Fund that invests in another Fidelity Fund or another
underlying fund does not pay duplicate sales fees or
redemption fees with respect to the purchase or redemption
by it of units of its underlying fund.
Unitholder notice
We give unitholders 60 days’ written notice of any change
to the basis of the calculation of the fees or expenses that
are charged to a Fund or its unitholders by an arm’s-length
party that could result in an increase in charges, or the
introduction of a fee or expense to be charged to a Fund or
its unitholders that could result in an increase in charges.
Because Series F, F5, F8, O, P1, P1T5, P2, P2T5, P3,
P3T5, P4, P4T5, P5 and P5T5 units are sold without a
sales charge, a meeting of unitholders of these series of the
Funds is not required to approve any increase in, or
introduction of, a fee or expense charged to the Funds. Any
such increase is only made if unitholders are notified of the
increase at least 60 days before the increase takes effect.
Fees and expenses payable directly by you
Sales charges
Initial sales charge option
Series B, D, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5,
E5T5, S5 and S8 units are available only under the initial
sales charge option. You may have to pay an initial sales
charge if you buy units of these series of a Fund. You and
your financial advisor negotiate the amount you pay. The
charge can be from 0% to 5% of the initial cost of your units
of a Fund. We deduct the sales charge from the amount
you invest and pay it to your dealer as a commission.
You pay no initial sales charge when you buy Series F, F5,
F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5 or
P5T5 units of a Fund.
Deferred sales charge option
You pay a deferred sales charge if you choose to buy
Series A, C, T5 or T8 units of a Fund under the deferred
sales charge option and you redeem your units within six
years of buying them. The charge is based on the original
cost of your units and how long you held them. We deduct
the charge from the value of units you redeem. The charge
is paid to us. The table below shows the deferred sales
charge schedule:
If you redeem Series A, C, T5 or T8 units
You pay a charge of
during the first year you own them 6.0%
during the second year you own them 5.5%
during the third year you own them 5.0%
during the fourth year you own them 4.5%
during the fifth year you own them 3.0%
during the sixth year you own them 1.5%
after six years of owning them zero
Your Series A, T5 and T8 deferred sales charge units are
automatically switched to Series B, S5 or S8 units,
respectively, which have lower management fees, seven
years after the time of purchase. This switch may result in
higher trailing commissions being paid to your dealer.
These automatic switches are not implemented if the value
of the units to be switched is less than five dollars, but are
implemented once the value of the units to be switched is
five dollars or more. There are no charges levied when we
implement the automatic switches. You can also elect to
switch your deferred sales charge Series A, T5 or T8 units
to lower management fee Series B, S5 or S8 units,
respectively, after your redemption fee schedule has
expired. See the Purchases, switches and redemptions
section for details.
You do not pay a deferred sales charge fee when you
redeem your Series C units for purposes of investing in the
Fees and expenses (continued)
38
Fidelity ClearPlan® Custom Fund Portfolios program. If you
have not activated your rebalancing program in the Fidelity
ClearPlan® Custom Fund Portfolios program within 90 days
of enrolment, your Series C units are automatically
switched to Series A units of Fidelity Canadian Money
Market Fund.
Every calendar year, you can redeem up to 10% of units
purchased under the deferred sales charge option at no
charge, or you can switch those units to units that have
lower management fees and no deferred sales charge. See
the Purchases, switches and redemptions section for
details. You can’t carry forward an unused amount to the
next year.
Low load deferred sales charge option
You may choose to purchase Series A, C, T5 or T8 units
under the low load deferred sales charge option. Under this
option, you pay a deferred sales charge if you redeem your
units within two years of buying them. The charge is based
on the original cost of your units and how long you held
them. We deduct the charge from the value of units you
redeem. The charge is paid to us. The table below shows
the low load deferred sales charge schedule:
If you redeem Series A, C, T5 or T8 low load units
You pay a charge of
during the first year you own them 2.0%
during the second year you own them 2.0%
during the third year you own them zero
Your Series A, T5 and T8 low load deferred sales charge
units are automatically switched to Series B, Series S5 or
Series S8 units, respectively, which have lower
management fees, three years after the time of purchase.
This switch may result in higher trailing commissions being
paid to your dealer. These automatic switches are not
implemented if the value of the units to be switched is less
than five dollars, but are implemented once the value of the
units to be switched is five dollars or more. There are no
charges levied when we implement the automatic switches.
You can also elect to switch your low load deferred sales
charge Series A, T5 or T8 units to lower management fee
Series B, S5 or S8 units, respectively, after your redemption
fee schedule has expired. See the Purchases, switches
and redemptions section for details.
You do not pay a deferred sales charge fee when you
redeem your Series C units for purposes of investing in the
Fidelity ClearPlan® Custom Fund Portfolios program. If you
have not activated your rebalancing program in the Fidelity
ClearPlan® Custom Fund Portfolios program within 90 days
of enrolment, your Series C units are automatically be
switched to Series A units of Fidelity Canadian Money
Market Fund.
Low load 2 deferred sales charge option
You may choose to purchase Series A, C, T5 or T8 units
under the low load 2 deferred sales charge option. Under
this option, you pay a deferred sales charge if you redeem
your units within three years of buying them. The charge is
based on the original cost of your units and how long you
held them. We deduct the charge from the value of units
you redeem. The charge is paid to us. The table below
shows the low load 2 deferred sales charge schedule:
If you redeem Series A, C, T5 or T8 low load 2 units
You pay a charge of
during the first year you own them 3.0%
during the second year you own them 2.5%
during the third year you own them 2.0%
During the fourth year you own them zero
Your Series A, T5 and T8 low load 2 deferred sales charge
units are automatically switched to Series B, S5 or S8 units,
respectively, which have lower management fees, four
years after the time of purchase. This switch may result in
higher trailing commissions being paid to the dealer. These
automatic switches are not implemented if the value of the
units to be switched is less than five dollars, but are
implemented once the value of the units to be switched is
five dollars or more. There are no charges levied when we
implement the automatic switches. You can also elect to
switch your low load 2 deferred sales charge Series A, T5
or T8 units to lower management fee Series B, S5 or S8
units, respectively, after your redemption fee schedule has
expired. See the Purchases, switches and redemptions
section for details.
You do not pay a deferred sales charge fee when you
redeem your Series C units for purposes of investing in the
Fidelity ClearPlan® Custom Fund Portfolios program. If you
have not activated your rebalancing program in the Fidelity
ClearPlan® Custom Fund Portfolios program within 90 days
39
of enrolment, your Series C units are automatically
switched to Series A units of Fidelity Canadian Money
Market Fund.
You pay no deferred sales charge when you redeem Series
B, D, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5,
F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5,
P5T5, S5 or S8 units of a Fund.
Switch fees
You may have to pay a fee of up to 2% of the value of your
units to your dealer when you switch your units to a
different series of the same Fund (where permitted), or
when you switch from units of a Fund to units of another
Fund or Fidelity Fund. The fee is paid by redeeming your
units immediately before the switch is made. You negotiate
that fee with your financial advisor.
You do not pay a switch fee when you switch from Series F,
F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5 or
P5T5 units of one Fund to Series F, F5, F8, P1, P1T5, P2,
P2T5, P3, P3T5, P4, P4T5, P5 or P5T5 units of another
Fidelity Fund.
You do not pay a switch fee when we automatically switch
your Series B or S5 units into Series E units, or when your
Series E units are switched to Series B or S5 units or a
different tier of Series E units.
You do not pay a switch fee when we automatically switch
your Series F or F5 units into Series P units, or when your
Series P units are switched to Series F or F5 units or a
different tier of Series P units.
If you switch to units of another Fidelity Fund within 30 days
of buying them, you may also be charged a short-term
trading fee. In such event, you are not charged a deferred
sales charge on a switch to another Fund.
You can find more information about permitted switches of
units in the Purchases, switches and redemptions
section.
You may have to pay a fee of up to 2% of the value of your
units to your dealer when you switch from:
Series A units of a Fund to Series C, O, T5 or T8 units
of the same Fund.
Series B units of a Fund to Series D, O, S5 or S8 units
of the same Fund.
Series E units of a Fund to Series D, O, S5 or S8 units
of the same Fund.
Series F units of a Fund to Series B, S5 or S8 units of
the same Fund.
Series F5 units of a Fund to Series B, S5 or S8 units of
the same Fund.
Series F8 units of a Fund to Series B, S5 or S8 units of
the same Fund.
Series P units of a Fund to Series B, S5 or S8 units of
the same Fund.
Series S5 units of a Fund to Series B, O or S8 units of
the same Fund.
Series S8 units of a Fund to Series B, O or S5 units of
the same Fund.
Series T5 units of a Fund to Series A, O or T8 units of
the same Fund.
Series T8 units of a Fund to Series A, O or T5 units of
the same Fund.
You negotiate that fee with your financial advisor.
You pay no switch fee when you switch from:
Series B, S5 or S8 units of a Fund to Series F, F5 or F8
units of the same Fund.
Series C units of Fidelity Canadian Money Market Fund
to Series A units of the same or another Fund as part of
the ClearPlan program.
Series D units of Fidelity Canadian Money Market Fund
to Series B, F or O units of the same or another Fund
as part of the ClearPlan program.
Series E units of a Fund to Series F, F5 or F8 units of
the same Fund.
Series F units of a Fund to Series F5, F8 or O units of
the same Fund.
Series F5 units of a Fund to Series F, F8 or O units of
the same Fund.
Fees and expenses (continued)
40
Series F8 units of a Fund to Series F, F5 or O units of
the same Fund.
Series O units of a Fund to Series F5 or F8 units of the
same Fund.
Series P units of a Fund to Series F5, F8 or O units of
the same Fund.
Registered plan fees
None.
Short-term trading fee
Fidelity monitors for short-term trading activity. You are
charged a short-term trading fee of 1% of the value of the
units if you redeem or switch units within 30 days of buying
units of any series of any of the following Funds:
Global and International Equity Funds.
Global Sector Funds.
Global Asset Allocation and Balanced Funds (except
for Fidelity U.S. Monthly Income Fund and Fidelity U.S.
Monthly Income Currency Neutral Fund).
Fidelity Global Income Portfolio, Fidelity Global
Balanced Portfolio and Fidelity Global Growth Portfolio.
U.S. Fixed Income Funds (except Fidelity U.S. Money
Market Fund).
Global Fixed Income Funds.
We may decide to waive the fee in certain limited
circumstances, for example, the death of a unitholder. For
this purpose, units held for the longest time period are
treated as being redeemed first, and units held for the
shortest time period are treated as being redeemed last.
In addition, Fidelity monitors account trading activity to
identify patterns of excessive trading. Excessive trading
activity is determined by the number of redemptions or
switches out of a Fund within 30 days of a purchase or
switch into a Fund. For this purpose, units held for the
shortest time period are treated as being redeemed first,
and units held for the longest time period are treated as
being redeemed last. If you redeem or switch units of the
Funds (other than Fidelity Canadian Money Market Fund,
Fidelity U.S. Money Market Fund and Fidelity Canadian
Short Term Bond Fund) within this period, you may:
Receive a warning letter.
Be charged a short-term trading fee of up to 1% of the
value of the units.
Have your account blocked from further purchases and
switches for a period of time.
Be required to redeem your account.
Further to the above sanctions, Fidelity may, in its sole
discretion, restrict, reject, or cancel any purchase or switch
into a Fund, or apply additional sanctions where we deem
activity to not be in the Funds’ interests.
In certain circumstances, the short-term trading fee does not apply. See the Purchases, switches and redemptions section for details.
Fee for sizable redemptions
Fidelity monitors for sizable transaction activity.
On or after April 1, 2017, Sizable Investors of a Fund will be
subject to a 1% penalty of the value of the units that they
sell/switch if they sell/switch their units of the Fund within 30
days of their most recent purchase/switch into the Fund.
Sizable investors may be subject to a 1% penalty of the
value of the units if they fail to provide the required notice to
Fidelity prior to completing a sizable redemption (as
described in Sizable transactions in the Purchases,
switches and redemptions section). At the time the
redemption order is received without notice, Fidelity will
assess the potential impact to the Fund and determine
whether the 1% penalty is applied. This fee goes to the
Fund.
If the redemption or switch transaction would be subject to
both a sizable redemption fee and a short-term trading fee,
the Sizable Investor will only be subject to the sizable
redemption fee. For greater certainty, the total penalty
applied will not exceed 1% of the value of the units
redeemed or switched.
See Short-term trading and Sizable transactions in the
section Purchases, switches and redemptions for details.
41
Other
Cheque fees
You may be charged a fee of $25 plus applicable taxes for
each payment that you request by cheque in respect of
redemptions, payments under a systematic withdrawal plan,
cash distributions, or Series E1T5, E2T5, E3T5, E4T5,
E5T5, F5, F8 P1T5, P2T5, P3T5, P4T5, P5T5, S5, S8, T5
or T8 distributions.
Insufficient funds fee
You may be charged a fee of $25 plus applicable taxes for
each payment not honoured by your financial institution.
Advisor Service Fee
Investors in Series F, F5, F8, P1, P1T5, P2, P2T5, P3,
P3T5, P4, P4T5, P5 or P5T5 units may pay their advisor
service fees to their dealer by authorizing Fidelity to redeem
units of these series from their account equal to the amount
of the fees payable by the investor to their dealer (plus
applicable taxes) and to pay the proceeds to their dealer.
These redemptions are made on a quarterly basis, and the
redemption proceeds for the advisor service fees (plus
applicable taxes) are forwarded on to the dealer. Where
such an arrangement exists, the maximum annual advisor
service fee rate that Fidelity facilitates the payment of is
1.50% (excluding applicable taxes). The advisor service fee
is calculated on a daily basis based on the daily net asset
value of the investor’s units at the end of each business
day.
Investors are eligible to have units of these series
redeemed by Fidelity and the proceeds paid to their dealer,
if:
They do not hold their units in a fee-based account
where they pay fees directly to their dealer.
Their dealer has entered into the appropriate eligibility
agreement with Fidelity.
They have entered into an advisor service fee
agreement with their dealer and Fidelity.
The advisor service fee agreement must disclose the
advisor service fee rate(s) the investor has negotiated with
the dealer for the advice provided by the dealer to the
investor with respect to purchasing and selling securities of
the Fidelity Funds and/or administration and management
services with respect to the investor’s securities of the
Fidelity Funds.
Series O management fee
The Funds (excluding the Investment Trusts, Fidelity
American Disciplined Equity® Currency Neutral Fund,
Fidelity Global Disciplined Equity® Currency Neutral Fund
and Fidelity International Disciplined Equity® Currency
Neutral Fund) do not pay any management fee in respect of
Series O units. Instead, you have to pay an annual fee to
us, which is negotiable. This fee accrues daily and is paid
monthly, and does not exceed the aggregate maximum
annual rate of the management and advisory fees payable
for Series F units of the Funds.
No management and advisory fees are charged to the
Investment Trusts, Fidelity American Disciplined Equity®
Currency Neutral Fund, Fidelity Global Disciplined Equity®
Currency Neutral Fund and Fidelity International Disciplined
Equity® Currency Neutral Fund, which are only available for
purchase by the Fidelity Funds and other funds and
accounts managed or advised by Fidelity.
Impact of sales charges The table below shows the fees you would have to pay if
you bought units of a Fund under our different purchase
options. It assumes that:
You invest $1,000 in units of the Fund for each period
and redeem all of your units immediately before the
end of that period.
The sales charge under the initial sales charge option
is 5%.
The deferred sales charge under the deferred sales
charge option applies only if you redeem your units
within six years of buying them, the deferred sales
charge under the low load deferred sales charge option
applies only if you redeem your units within two years
of buying them, and the deferred sales charge under
the low load 2 deferred sales charge option applies
only if you redeem your units within three years of
Fees and expenses (continued)
42
buying them. See the Fees and expenses section for
the redemption fee schedules of the different deferred
sales charge options.
You haven’t used your 10% free amount under the
deferred sales charge option (the 10% free amount is
not available for the low load deferred sales charge
option and the low load 2 deferred sales charge
option).
When you buy your units
Within 1 year
Within 3 years
Within 5 years
Within 10 years
Initial sales charge option (1) $50
Deferred sales charge option (2) $60 $50 $30
Low load deferred sales charge option (2) $20
Low load 2 deferred sales charge option (2) $30 $20
No load option (3) n/a n/a n/a n/a n/a
(1) Only Series B, D, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, S5 and S8 units are available under this option. You do not pay any sales charges if you buy Series F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5 or P5T5 units. Instead, you pay your dealer an annual fee for investment advice and/or other services. Series O units are also sold without a sales charge.
(2) Only Series A, C, T5 and T8 units are available under the deferred sales charge option, the low load deferred sales charge option, and the low load 2 deferred sales charge option.
(3) We do not offer a no load option.
Dealer compensation
43
How your financial advisor and dealer are paid Your financial advisor usually is the person you buy Fidelity
Funds from. Your financial advisor could be a broker,
financial planner, or other person who sells mutual funds.
Your dealer is the firm your financial advisor works for.
Commissions
Your financial advisor usually receives a commission when
you invest in Series A, B, C, D, E1, E1T5, E2, E2T5, E3,
E3T5, E4, E4T5, E5, E5T5, S5, S8, T5 or T8 units of the
Funds. The commission depends on how you invest in the
Funds.
Initial sales charge option
You and your financial advisor decide on the percentage
sales charge you are charged when you buy Series B, D,
E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, S5 or
S8 units under the initial sales charge option. The
percentage of the sales charge ranges from 0% to 5%. We
may deduct the sales charge from the amount you invest
and pay it to your dealer as a commission. See the Fees
and expenses section for details.
Deferred sales charge options
When you choose the deferred sales charge option for
Series A, C, T5 or T8 units, we pay your dealer a
commission of 4.9% of the amount you invest. You don’t
pay a charge unless you redeem your units within six years
of buying them. See the Fees and expenses section for
details.
When you choose the low load deferred sales charge
option for Series A, C, T5 or T8 units, we pay your dealer a
commission of 1% of the amount you invest. You don’t pay
a charge unless you redeem your units within two years of
buying them. See the Fees and expenses section for
details.
When you choose the low load 2 deferred sales charge
option for Series A, C, T5 or T8 units, we pay your dealer a
commission of 2.5% of the amount you invest. You don’t
pay a charge unless you redeem your units within three
years of buying them. See the Fees and expenses section
for details.
Switch fees
You may have to pay a fee of up to 2% of the value of your
units to your dealer when you switch from units of a Fund to
a different series of the same Fund, or when you switch
from units of a Fund to units of another Fund or other
Fidelity Fund. You negotiate that fee with your financial
advisor. The charge is paid by redeeming units of the Fund
you’re switching out of. You don’t pay a switch fee when
you switch Series C or D units of Fidelity Canadian Money
Market Fund to any other Fidelity Fund as part of your
ClearPlan® program. See the Fees and expenses section
for details about this fee. Also see the Purchases,
switches and redemptions section for more information
about permitted switches.
Trailing commissions
We pay trailing commissions to your dealer on Series A, B,
C, D, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5,
S5, S8, T5 or T8 units at the end of each quarter or, if the
dealer qualifies to be paid electronically, possibly on a more
frequent basis. We expect that dealers pay a portion of the
trailing commission to their financial advisors. Trailing
commissions are paid to all dealers, including discount
brokers. These commissions are a percentage of the
average daily value of the above series of units of each
Fund held by the dealer’s clients. The commissions depend
on the Fund and the sales charge option. We may change
or cancel the terms of the trailing commissions in our
discretion and without advance notice. The following table
shows the maximum trailing commissions rates:
Dealer compensation (continued)
44
Maximum annual trailing commission rate
Series A, C*, T5
and T8 units
Series B, D*, E1, E1T5, E2,
E2T5, E3, E3T5, E4, E4T5, E5,
E5T5, S5 and S8 units
Fund
Deferred sales
charge option
Low load deferred
sales charge option
Low load 2 deferred
sales chargeoption
Initial sales charge option
Fidelity Canadian Money Market Fund and Fidelity U.S. Money Market Fund 0.25% 0.25% 0.25% 0.25%
All other Fixed Income Funds, Fidelity ClearPath® 2005 Portfolio, Fidelity ClearPath® Income Portfolio 0.25% 0.50% 0.25% 0.50%
Fidelity Income Allocation Fund and Fidelity Conservative Income Fund 0.375% 0.75% 0.375% 0.75%
All other Funds 0.50% 1.00% 0.50% 1.00%
* Note that Series C and D units are only available for Fidelity Canadian Money Market Fund, to facilitate enrolment in the Fidelity ClearPlan® Custom Fund Portfolios program.
Marketing support programs
We pay for materials we give to dealers to help support
their sales efforts. These materials include reports and
commentaries on securities, the markets, and the Fidelity
Funds. We pay for our own marketing and advertising
programs.
We may share with dealers up to 50% of their costs in
marketing the Fidelity Funds. This may include paying a
portion of the costs of a dealer in advertising the availability
of Fidelity Funds through its financial advisors. We may
also pay part of the costs of a dealer in presenting seminars
to educate investors about the Fidelity Funds, or generally
about the benefits of investing in mutual funds.
We may pay up to 10% of the costs for dealers to hold
educational seminars or conferences for their financial
advisors to provide them with information about, among
other things, financial planning or mutual fund industry
matters.
We also arrange seminars for financial advisors from time
to time, where we inform them about new developments in
the Fidelity Funds, our products and services, and mutual
fund industry matters. We invite dealers to send their
financial advisors to our seminars, but the dealers decide
who attends. The financial advisors must pay for their own
travel, accommodation, and personal expenses if they
attend our seminars.
We may also pay the registration costs for financial
advisors to attend educational conferences or seminars
organized and presented by other organizations.
All of our programs that benefit dealers comply with
securities laws. The Fidelity Funds do not pay the costs of
these programs.
Dealer compensation Income tax from management considerations for fees investors
45
We paid dealers compensation of approximately 49.9% of
the total management fees we received from all the Fidelity
Funds we managed during our financial year ended
December 31, 2016. This includes amounts we paid to
dealers for commissions, trailing commissions, marketing
support programs, and introduction fees.
This information is a general summary of tax rules and
is not intended to be legal advice. For this discussion,
we assume you are a Canadian resident individual
(other than a trust) and that you hold your units directly
as capital property or in a registered plan. More
information is contained in the Funds’ annual
information form.
We have tried to make this discussion easy to
understand. As a result, we cannot be technically
precise, or cover all the tax consequences that may
apply. We suggest that you consult your tax advisor for
details about your individual situation.
How the Funds aim to make money A Fund can make money in two ways. First, it can earn
income. Some examples of income are interest paid on
bonds, dividends paid on stocks, and gains on certain
derivatives instruments. Second, a Fund can have capital
gains if the value of its investments goes up. If the Fund
sells an investment at a gain, the gain is realized. If the
Fund continues to hold the investment, the gain is
unrealized. Income and capital gains can also be earned
through investments in underlying funds. The distributions
paid by an underlying Fidelity Fund have the character of a
dividend from Canadian companies, taxable capital gain,
Canadian income from a trust, foreign income from a trust,
or return of capital.
Each year, the Funds pay out a sufficient amount of their
income (after deducting expenses) and realized capital
gains so that, generally, they don’t have to pay ordinary
income tax. This is known as a distribution.
Typically, foreign source income is subject to foreign
withholding tax. Fidelity U.S. Dividend Registered Fund
expects to be exempt from U.S. withholding tax on U.S.
source dividend and interest income.
Gains and losses realized by a Fund from the use of
derivatives for non-hedging purposes is treated as ordinary
income and losses for tax purposes, rather than as capital
gains and losses. Gains and losses realized by the Fund
from the use of derivatives for hedging purposes may be
treated for tax purposes as ordinary income and losses or
Income tax considerations for investors (continued)
46
as capital gains and capital losses, depending on the
circumstances. The Fidelity Currency Neutral Funds treat
the gains and losses realized on derivatives used to hedge
against currency fluctuations as capital gains and capital
losses, rather than as ordinary income and losses. While
this position is commonly applied by the mutual fund
industry, the Canada Revenue Agency, or CRA, could
challenge this treatment on the basis that these gains are
income. A reassessment of a Fund may result in additional
income to unitholders if the Fund does not have sufficient
deductible expenses and tax credits to offset this income.
How you are taxed The tax you pay on your mutual fund investment depends
on whether you hold your units in a registered plan or in a
non-registered account.
Funds held in your registered plan
Generally, neither you nor your registered plan are subject
to tax on distributions paid on units held in your registered
plan or on capital gains realized when those units are
redeemed or switched. This assumes the units are a
qualified investment and not a prohibited investment. Units
of Fidelity American Disciplined Equity® Currency Neutral
Fund, Fidelity Global Disciplined Equity® Currency Neutral
Fund, Fidelity International Disciplined Equity® Currency
Neutral Fund, Fidelity NorthStar® Currency Neutral Fund
and the Investment Trusts are not qualified investments for
registered plans, and adverse tax consequences arise if
units of these Funds are acquired and held by a registered
plan. Units of the other Funds are expected to be a qualified
investment for registered plans. However, even when units
of a Fund are a qualified investment, you may be subject to
tax if a unit held in your RRSP, RRIF and TFSA is a
prohibited investment for your registered plan. Pursuant to
legislative proposals to amend the Tax Act released on
September 8, 2017, rules in respect of prohibited
investments are proposed to apply to RESPs and RDSPs
effective March 23, 2017.
Under a safe harbor rule for new mutual funds, units of the
Funds will not be a prohibited investment for your registered
plan at any time during the first 24 months of the Fund’s
existence provided the Fund is a registered investment or
deemed to be a mutual fund trust under the Tax Act during
that time and is in substantial compliance with NI 81-102 or
follows a reasonable policy of investment diversification.
Generally, units of a Fund are not a prohibited investment
for your registered plans if you and persons with whom you
do not deal at arm’s length do not, in total, directly or
indirectly, own securities representing 10% or more of the
net asset value of the Fund. Units of a Fund are also not a
prohibited investment for your registered plans if they are
“excluded property” under the Tax Act.
You should consult your tax advisor about the special
rules that apply to each type of registered plan,
including whether or not an investment in a Fund
would be a prohibited investment for your registered
plans.
Funds held in your non-registered account
You must compute and report all income and capital gains
in Canadian dollars. If you hold your units in a non-
registered account and receive a distribution (including a
fee distribution) during a year, we send you a tax slip for the
year. It shows your share of the Fund’s income, capital
gains, and return of capital paid to you for the previous
year, as well as any allowable tax credits. You must include
the taxable portion of your distributions, as shown on the
tax slip, as part of your annual income. This applies even if
your distributions are reinvested in units of the Fund.
Income may include dividends from taxable Canadian
corporations, foreign income, and other income (such as
interest and derivative income). Dividends paid by
Canadian companies are taxed subject to the gross up and
dividend tax credit. An enhanced gross-up and dividend tax
credit is available for certain eligible dividends paid by
Canadian companies. A Fund or an underlying fund may
pay foreign withholding tax on its foreign income. Some or
all of the foreign tax paid by a Fund or an underlying fund
may be credited against the Canadian income tax you pay.
Capital gains distributed by the Funds are treated as if you
realized them directly as a capital gain.
Distributions of capital are not taxable. Instead a return of
capital reduces the adjusted cost base of your units of a
Fund. If the adjusted cost base of your units is reduced to
less than zero, you will realize a capital gain equal to the
negative amount and your adjusted cost base will be
47
increased to zero. Monthly distributions on some series of
the Funds (such as Series E1T5, E2T5, E3T5, E4T5, E5T5,
F5, F8, P1T5, P2T5, P3T5, P4T5, P5T5, S5, S8, T5 and T8
units) are comprised of returns of capital and/or net income.
Generally, fees paid by you to your dealer in respect of
Series F, F5, F8 or P units of the Funds held outside a
registered plan should be deductible for income tax
purposes from the income earned on the Funds to the
extent that the fees are reasonable, represent fees for
advice to you regarding the purchase or sale of specific
securities (including units of the Funds) by you directly or
for services provided to you in respect of the administration
or management of securities (including units of the Funds)
owned by you directly, and the fees are paid by you to a
dealer whose principal business is advising others
regarding the purchase or sale of specific securities, or
includes the provision of administration or management
services in respect of securities. Fees paid directly by you
to Fidelity for services provided by Fidelity to the Funds
(such as with respect to Series O units) are not deductible. You should consult your tax advisor regarding the
deductibility of fees paid directly by you in your
particular circumstances.
Capital gains and losses when you redeem your units Switches between series of the same Fund can be made
without triggering a capital gain or loss. Other switches
require a redemption of units and may trigger a capital gain.
Switches that require a redemption include those that occur
under the Fidelity ClearPlan® program or the systematic
exchange program.
You realize a capital gain if the amount you receive from
redeeming a unit is more than the adjusted cost base of the
unit, after deducting any cost of redeeming or switching the
unit. You realize a capital loss if the amount you receive
from a redemption is less than the adjusted cost base, after
deducting any cost of redeeming your units. Capital gains
or capital losses are realized on redemptions made to pay
fees to your dealer, including in connection with Series F,
F5, F8 and P units.
Generally, one-half of a capital gain is included in
calculating your income as a taxable capital gain, and one-
half of a capital loss can be deducted against taxable
capital gains, subject to any applicable loss restriction rules
under the Tax Act.
If you’ve bought units at various times, you likely paid
various prices. The adjusted cost base of a unit is the
average of the adjusted cost base of all the identical units
you hold in the Fund. That includes units you got through
reinvestments of distributions. If you’ve bought and sold
units in U.S. dollars, the cost and proceeds of disposition
must be converted into Canadian dollars at the exchange
rate on the date of purchase or redemption, as applicable.
Buying units late in the year The unit price of a Fund may include income and/or capital
gains that the Fund has earned or realized, but not yet
distributed. You are taxable on distributions of a Fund’s
income and capital gains even if that income and capital
gains is attributable to a time before you acquired the units.
This could be particularly significant if you purchase units of
a Fund late in the year, or on or before the date on which a
distribution is paid.
Portfolio turnover The higher a Fund’s or underlying fund’s portfolio turnover
rate in a year, the greater the chance that you receive a
capital gains distribution. Any gains realized would be offset
by any losses realized on portfolio transactions. There is
not necessarily a relationship between a high turnover rate
and the performance of a Fund.
How to calculate adjusted cost base
Here’s how the total adjusted cost base of your units of a
series of a particular Fund is generally calculated:
Start with your initial investment, including any sales
charges you paid.
Add any additional investments, including any sales
charges you paid.
Add any distributions you reinvested, including fee
distributions.
Add the adjusted cost base of units received on a tax-
deferred switch and the net asset value of the units
received on a taxable switch.
Income tax considerations for investors (continued)
48
Subtract the part of any distributions, including fee
distributions that was a return of capital.
Subtract the adjusted cost base of any previous
redemptions and switches.
To calculate adjusted cost base, you need to keep detailed
records of the price you paid and received for your
investments, and also keep the tax slips we send to you.
They include distributions that are a return of capital. For
more information, contact your tax advisor.
Additional considerations for investors You are generally required to provide your financial advisor
with information related to your citizenship, tax residence,
and, if applicable, your foreign tax identification number. If
you are identified as a U.S. citizen (including a U.S. citizen
living in Canada) or a foreign tax resident, details about you
and your investment in a Fund are generally reported to the
CRA, unless units are held in a registered plan. The CRA is
expected to provide that information to the foreign tax
authority in the relevant country if the country has signed an
exchange of financial account information agreement with
Canada.
The U.S. Internal Revenue Service issued a clarification to
a set of existing tax rules that resulted in Canadian mutual
funds (such as the Fidelity Funds) generally being classified
as corporations for U.S. tax purposes. As a result, U.S.
taxpayers (including Canadian residents who are U.S.
citizens) who hold Canadian mutual funds generally are
subject to the Passive Foreign Investment Company rules,
known as PFIC, including an annual requirement to report
each PFIC investment held directly or indirectly on a separate U.S. tax form. If you are a U.S. citizen, you
should consult your tax advisor about the U.S. tax rules
that apply to you and the advisability of making (or
refraining from making) any U.S. tax election, such as a
Qualified Electing Fund or QEF election.
Generally, the QEF more closely aligns the Canadian and
U.S. tax treatment of an investment in Canadian mutual
funds. To assist investors who choose to make QEF
elections, Fidelity makes available PFIC annual information
statements, referred to as AIS, for the Fidelity Funds.
Investors should consult their dealer or financial advisors
about obtaining their AIS from Fidelity.
49
Combinations of Fidelity ClearPath® Retirement Portfolios and Fidelity ClearPath® Income Portfolio
In the future, it is expected that the Fidelity ClearPath®
Retirement Portfolios will be combined with Fidelity
ClearPath® Income Portfolio. This may result in capital
gains being realized by a Fidelity ClearPath® Portfolio,
which capital gains may be distributed to unitholders. As
well, this may result in a capital gain or loss being realized
by unitholders as a result of the disposition of their units of
the particular Fidelity ClearPath® Portfolio.
Statement of rights
Securities legislation in some provinces and territories gives
you the right to withdraw from an agreement to buy mutual
funds within two business days of receiving the simplified
prospectus or fund facts, or to cancel your purchase within
48 hours of receiving confirmation of your order.
Securities legislation in some provinces and territories also
allows you to cancel an agreement to buy mutual fund
securities and get your money back, or to make a claim for
damages, if the simplified prospectus, annual information
form, fund facts or financial statements misrepresent any
facts about the fund. These rights must usually be
exercised within certain time limits.
For more information, refer to the securities legislation of
your province or territory or consult a lawyer.
Specific information about each of the mutual funds described in this document
50
Your guide to the Funds The Funds offered under this simplified prospectus are
categorized into five major groups: Equity Funds, Asset
Allocation and Balanced Funds, Fidelity Managed
Portfolios, Fidelity ClearPath® Retirement Portfolios, and
Fixed Income Funds. Choosing the right ones means
knowing what kinds of investments the Funds make and
what kinds of risks they face. Here’s what the Fund profiles
look like and what they will tell you.
1. Fund name
2. Fund details
This is a quick overview of the Fund — what kind of fund it
is, when it was started, the types of units offered, and series
available under the U.S. dollar option, and whether it is a
qualified investment for registered plans, and the
management and advisory fees and Administration Fee for
each series. Your dealer and financial advisor can assist
you in determining the series that you are eligible to invest
in.
About the Series
We currently offer up to thirty-two series of units for the
Funds. The series offered by a Fund are set out in that
Fund’s profile. We may offer additional series in the future.
Throughout this simplified prospectus, we use the term
“tier” to refer to the separate series of Series E and P
Securities (as defined below).
Series A units
Series A units are available to all investors who purchase
under a deferred sales charge option. The minimum initial
investment for Series A units of a Fund is $500.
Series B units
Series B units are available to all investors who purchase
under the initial sales charge option. Series B units have
lower fees than Series A units. The minimum initial
investment for Series B units of a Fund is $500.
Series C units
Only Fidelity Canadian Money Market Fund offers Series C
units. Series C units are only available to investors who
enrol in our Fidelity ClearPlan® Custom Fund Portfolios
program, and who purchase under a deferred sales charge
option.
Series D units
Only Fidelity Canadian Money Market Fund offers Series D
units. Series D units are only available to investors who
enrol in our Fidelity ClearPlan® Custom Fund Portfolios
program, and who purchase under the initial sales charge
option. Series D units have lower fees than Series C units.
Series E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5,
E5 and E5T5 units
Series E units are available only to investors who hold
Series B or S5 units and then become eligible to hold
Series E units, or who already hold Series E units, provided
their dealer has entered into the appropriate eligibility
agreement with Fidelity and can support Series E units.
Series E units are not available to an investor enrolled in
the Large Account Program (described in the Fees and
Expenses section) unless the investor chooses to
permanently leave the Large Account Program in order to
hold Series E units.
Series E units have lower combined management and
Administration Fees than Series B or S5 units. Each Series
E tier has different management and advisory fees and
Administration Fee. To determine the Series E tier that you
are eligible to hold, see Series E and P units in the Fees
and Expenses section.
We determine whether you are eligible for Series E units
based on the amount you, either individually or as part of a
Series E/P financial group, have invested with Fidelity. Your
dealer is responsible for determining whether you and the
entities related to you qualify as a Series E/P financial
group.
We automatically switch any Series B or S5 unit held by an
investor who qualifies for Series E units into the Series E
tier with the lowest combined management and advisory
and Administration Fee available to that investor, based on
51
information provided to us by your dealer. See the
Purchases, switches and redemptions section for details.
If you’re no longer eligible to hold a particular tier of
Series E units, we automatically switch your units into the
appropriate series of units, which might result in you holding
Series B or S5 units.
Series E1T5, E2T5, E3T5, E4T5 and E5T5 units are
available only to investors who hold Series S5 units and
then become eligible to hold Series E units, and to investors
who already hold Series E units. These series are designed
to provide tax efficient cash flow to investors by making
monthly distributions.
If you qualify for Series E units, we automatically switch any
Series S5 units you hold into the one of these Series E
tiers, if available, that has the lowest combined
management and advisory fees and Administration Fee for
which you are eligible. If you are no longer eligible to hold
Series E1T5, E2T5, E3T5, E4T5 or E5T5 units, we
automatically switch your units into the appropriate series of
units, which may result in you holding Series S5 units.
We restrict omnibus and bulk accounts from holding Series
E units where we cannot identify who the beneficial
unitholders are in order to determine whether each
beneficial unitholder is independently eligible to hold Series
E units.
Series F units
Series F units have lower combined management and
advisory fees and Administration Fees than Series A, B, C,
D, S5, S8, T5 or T8 units. Instead of paying sales charges,
investors in Series F units pay their dealer a fee for the
investment advice and/or administration and management
services they provide.
Investors may buy Series F units in a fee-based account at
their dealer, where they pay fees directly to their dealer,
provided their dealer has entered into the appropriate
eligibility agreement with Fidelity.
Investors may also buy Series F units and pay fees to their
dealer by authorizing Fidelity to redeem Series F units from
their account having a value equal to the amount of the fees
payable by the investor to the dealer (plus applicable taxes)
and to pay the proceeds to their dealer. Investors are
eligible to have their Series F units redeemed by Fidelity,
and the proceeds paid to their dealer, if:
They do not hold their Series F units in a fee-based
account where they pay fees directly to their dealer.
Their dealer has entered into the appropriate eligibility
agreement with Fidelity.
They have entered into an advisor service fee
agreement with their dealer and Fidelity.
The advisor service fee agreement must disclose the
advisor service fee rate(s) the investor has negotiated
with the dealer for the advice to be provided by the
dealer to the investor with respect to purchasing and
selling securities of the Fidelity Funds and/or for the
administration and management services with respect
to the investor’s securities of the Fidelity Funds.
If an investor enters into an advisor service fee agreement,
Fidelity facilitates the payment of the advisor service fee
(plus applicable taxes) by the investor to the dealer by
redeeming the investor’s Series F units on a quarterly basis
and forwarding the redemption proceeds for the advisor
service fees to the dealer. See the Fees and expenses
section for details.
We don’t pay any commissions or trailing commissions to
dealers who sell Series F units, which means we can
charge lower management and advisory fees. Your dealer
is responsible for deciding whether you are eligible to buy
and continue to hold Series F units. If you’re no longer
eligible to hold Series F units, your dealer is responsible for
telling us to switch your units into Series B units of the
same Fund or to redeem them. The minimum initial
investment for Series F units of a Fund is $500.
Series F5 units
Series F5 units are designed to provide tax efficient cash
flow to investors by making monthly distributions. The
above provisions in connection with Series F units apply
equally to Series F5 units. If you are no longer eligible to
hold Series F5 units, they are switched to Series S5 units.
The minimum initial investment for Series F5 units of a
Fund is $5,000.
Specific information about each of the mutual funds described in this document (continued)
52
Series F8 units
Series F8 units are designed to provide tax efficient cash
flow to investors by making monthly distributions. The
above provisions in connection with Series F units apply
equally to Series F8 units. If you are no longer eligible to
hold Series F8 units, they are switched to Series S8 units.
The minimum initial investment for Series F8 units of a
Fund is $5,000.
Series O units
Series O units of the Funds (excluding the Investment
Trusts, Fidelity American Disciplined Equity® Currency
Neutral Fund, Fidelity Global Disciplined Equity® Currency
Neutral Fund and Fidelity International Disciplined Equity®
Currency Neutral Fund) are only available to institutional
investors who may be individuals or financial institutions
which have been approved by us and have entered into a
Series O fund purchase agreement with us. Series O
investors are typically financial services companies that
make large investments in the Funds, and that use units of
the Funds to facilitate offering other products to investors or
to provide administrative services to group plans. The
criteria for approval as a Series O investor may include the
size of the investment, the expected level of account
activity, and the investor’s total investments with us. No
management and advisory fees are charged to the Funds
with respect to the Series O units, but investors are charged
a negotiated management fee for the provision of our
services to them. Consequently, investors in Series O units
may pay, as a percentage of their investment, a
management fee that is different from that payable by other
investors in Series O units. We don’t pay any commissions
or trailing commissions to dealers who sell Series O units.
There are no sales charges payable by investors who
purchase Series O units.
Since Series O investors are typically financial services
companies, their need for portfolio information may be
different from other investors. As a result, we may provide
them with portfolio disclosure more frequently than we
provide this disclosure to other investors, and the
information provided may be more detailed and/or
presented in a somewhat different fashion. This information
is only provided subject to an agreement limiting the
investor’s use of the information, and prohibiting the
investor from disclosing it to any other party.
Series O units of the Investment Trusts, Fidelity American
Disciplined Equity® Currency Neutral Fund, Fidelity Global
Disciplined Equity® Currency Neutral Fund and Fidelity
International Disciplined Equity® Currency Neutral Fund are
only available for purchase by the Fidelity Funds and other
funds and accounts managed or advised by Fidelity. Series
O units of these Funds are not available for public
purchase. No management and advisory fees are charged
to these Funds with respect to their Series O units, but the
Fidelity Funds and other funds and accounts that hold these
Series O units are charged a management fee for the
provision of our services to them. We don’t pay any
commissions or trailing commissions to dealers who sell
Series O units of these Funds. There are no sales charges
payable in respect of purchases of Series O units of these
Funds.
Series P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5,
P5, and P5T5 units
Series P units are available only to investors who hold
Series F or F5 units and then become eligible to hold Series
P units, or who already hold Series P units, provided their
dealer has entered into the appropriate eligibility agreement
with Fidelity and can support Series P units. Series P units
are not available to an investor enrolled in the Large
Account Program (described in the Fees and Expenses
section) unless the investor chooses to permanently leave
the Large Account Program in order to hold Series P units.
Series P units have lower combined management and
advisory fees and Administration Fees than Series F units.
Each Series P tier has different management and advisory
fees and Administration Fee. To determine the Series P tier
that you are eligible to hold, see Series E and P limits in the
Fees and Expenses section.
We determine whether you are eligible for Series P units
based on the amount you, either individually or as part of a
Series E/P financial group, have invested with Fidelity. Your
dealer is responsible for determining whether you and the
entities related to you qualify as a Series E/P financial
group.
53
We automatically switch any Series F or F5 units held by an
investor who qualifies for Series P units into the Series P
tier with the lowest combined management and advisory
fees and Administration Fee available to that investor,
based on the information provided to us by your dealer. See
the Purchases, switches and redemptions section for
details.
If you’re no longer eligible to hold a particular Series P tier,
we automatically switch your units into the appropriate
series of units, which might result in you holding Series F
units.
If, however, you are no longer eligible to hold a particular
Series P tier as a result of your dealer determining that you
are no longer eligible to hold Series F or F5 units, as
applicable, your dealer is responsible for telling us to switch
your Series P units into Series B or S5 units, as applicable,
of the same Fund or to redeem them.
As all eligible investors for Series P units will initially hold
Series F or F5 units, Series P units may be held in a fee-
based account at their dealer, where they pay fees directly
to their dealer. Investors may also pay fees to their dealer
by authorizing Fidelity to redeem Series P units from their
account having a value equal to the amount of the fees
payable by the investor to their dealer (plus applicable
taxes) and to pay the proceeds to their dealer.
Investors are eligible to have their Series P units redeemed
by Fidelity, and the proceeds paid to their dealer, if:
They do not hold their Series P units in a fee-based
account where they pay fees directly to their dealer.
Their dealer has entered into the appropriate eligibility
agreement with Fidelity.
They have entered into an advisor service fee
agreement with their dealer and Fidelity.
The advisor service fee agreement must disclose the
advisor service fee rate(s) the investor has negotiated with
the dealer for the advice to be provided by the dealer to the
investor with respect to purchasing and selling securities of
the Fidelity Funds and/or for the administration and
management services with respect to the investor’s
securities of the Fidelity Funds.
If an investor enters into an advisor service fee agreement,
Fidelity facilitates the payment of the advisor service fee
(plus applicable taxes) by the investor to the dealer by
redeeming the investor’s Series P units on a quarterly basis
and forwarding the redemption proceeds for the advisor
service fees to the dealer. See the Fees and expenses
section for details.
We don’t pay any commissions or trailing commissions to
dealers in connection with Series P units, which means we
can charge lower management and advisory fees.
Series P1T5, P2T5, P3T5, P4T5 and P5T5 units are
available only to investors who hold Series F5 units and
then become eligible to hold Series P units, and to investors
who already hold Series P units. These series are designed
to provide tax efficient cash flow to investors by making
monthly distributions.
If you qualify for Series P units, we automatically switch any
Series F5 units you hold into the one of these Series P
tiers, if available, that has the lowest combined
management and advisory fees and Administration Fee for
which you are eligible. If you are no longer eligible to hold
Series P1T5, P2T5, P3T5, P4T5 or P5T5 units, we
automatically switch your units into the appropriate series of
units, which may result in you holding Series F5 units.
We restrict omnibus and bulk accounts from holding Series
P units where we cannot identify who the beneficial
unitholders are in order to determine whether each
beneficial unitholder is independently eligible to hold Series
P units.
Series S5 units
Series S5 units are available to all investors who purchase
under the initial sales charge option. Series S5 units have
lower fees than Series T5 units, and are designed to
provide tax-efficient cash flow to investors by making
monthly distributions. The minimum initial investment for
Series S5 units of a Fund is $5,000.
Series S8 units
Series S8 units are available to all investors who purchase
under the initial sales charge option. Series S8 units have
lower fees than Series T8 units, and are designed to
provide tax-efficient cash flow to investors by making
Specific information about each of the mutual funds described in this document (continued)
54
monthly distributions. The minimum initial investment for
Series S8 units of a Fund is $5,000.
Series T5 units
Series T5 units are available to all investors who purchase
under a deferred sales charge option. Series T5 units are
designed to provide tax-efficient cash flow to investors by
making monthly distributions. The minimum initial
investment for Series T5 units of a Fund is $5,000.
Series T8 units
Series T8 units are available to all investors who purchase
under a deferred sales charge option. Series T8 units are
designed to provide tax-efficient cash flow to investors by
making monthly distributions. The minimum initial
investment for Series T8 units of a Fund is $5,000.
Other series information
Fidelity, in its sole discretion, may waive or change any of
the above minimum initial investment amounts at any time.
The current minimum initial investment amounts may be
obtained on our website at www.fidelity.ca > Products >
Mutual Funds > Investment minimums. For information on
buying units of the Funds, see the Purchases, switches
and redemptions section.
Series A, T5 and T8 units purchased under the deferred
sales charge option are automatically switched to Series B,
S5 and S8 units, respectively, which have lower
management fees, as soon as possible following one year
after the completion of their redemption fee schedules. You
can find a description of the deferred sales charge options
available and their redemption fee schedules in the Fees
and expenses section. These automatic switches are not
implemented if the value of the units to be switched is less
than five dollars, but are implemented once the value of the
units to be switched is five dollars or more. You can also
elect to have your Series A, T5 or T8 units that were
purchased under the deferred sales charge option switched
to the Series B, S5 or S8 units, respectively, at any time
after your redemption fee schedule expires. See the
Purchases, switches and redemptions section for details.
For each series of a Fund, excluding Series O, Fidelity pays
all of the operating expenses incurred by the Fund for that
series (including for services provided by Fidelity and/or its
affiliates), except for Fund Costs, in exchange for the
Administration Fee that is paid by the Fund in respect of
these series. For Series O, Fidelity pays all of the operating
expenses and costs incurred by the Fund in respect of
Series O (including for services provided by Fidelity and/or
its affiliates), except for certain costs that are paid by the
Fund in respect of Series O. See the Fees and expenses
section for details. The differences in expenses and fees
between series mean that each series of a Fund has a
different net asset value per unit.
3. What does the fund invest in?
This section tells you the investment objectives and
strategies of the Fund.
Investment objectives
Just like you, each Fund has goals for the money it invests.
This section tells you what those goals are. Some Funds
seek to earn income, while others seek to increase the
value of their investments as much as possible. Still others
seek to do both. Each Fund has its distinct investment
objectives. You will find details about the kinds of securities
the Fund invests in, as well as any special investment
focus, such as a particular country or industry.
We can’t change a Fund’s investment objectives unless we
get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
This section tells you how the portfolio management team
tries to achieve the Fund’s investment objectives. You will
find the portfolio management team’s general approach to
investing, and how the portfolio management team chooses
investments for the Fund.
Except where exemptive relief has been obtained from the
securities regulators (as described below), all of the Funds
follow the standard limits, restrictions, and practices set by
Canadian securities regulations.
All of the Funds can hold cash and invest in fixed income
securities. They can also engage in repurchase, reverse
repurchase and securities lending transactions, which are
described in the section What is a mutual fund and what
are the risks of investing in a mutual fund?
55
Certain of the funds may engage in short selling in order to
manage volatility or enhance the Fund’s performance in
declining or volatile markets. For more information about
short selling, see What is a mutual fund and what are the
risks of investing in a mutual fund?
All of the Funds, except Fidelity Canadian Money Market
Fund and Fidelity U.S. Money Market Fund, can use
derivatives. You find out how a Fund uses derivatives in the Investment strategies section of its Fund profile. For more
information about derivatives, see What is a mutual fund
and what are the risks of investing in a mutual fund?
Regulatory exemptions
Derivatives
Most of the Funds may use derivatives, as indicated in each
Fund’s profile. Derivatives, like options, futures contracts,
forward contracts, and swaps, may be used to hedge
against losses caused by changes in security prices,
interest rates, or exchange rates. The Funds may also use
derivatives for non-hedging purposes, including as a
substitute for a stock, stock market, or other security, or
where their use is considered efficient from a portfolio
management perspective.
When a Fund uses a derivative for hedging purposes, it
must hold assets, including another derivative, that carry a
risk that the derivative aims to offset. When a Fund uses a
derivative for non-hedging purposes, it must generally hold
cash or other assets that are equal to the Fund’s market
exposure from the derivative.
Interest rate swaps and credit default swaps are examples
of the types of swaps that certain Funds may use. In an
interest rate swap, a right to receive a payment based on a
fixed interest rate is swapped for a right to receive a
payment based on a floating interest rate. In a credit default
swap, a premium is swapped for a right to receive a
payment if an issuer of fixed income securities fails to make
a required payment, or if an event occurs that calls into
question the creditworthiness of the issuer.
Subject to certain conditions, Funds that use derivatives
have been granted an exemption by the securities
regulators to permit these Funds to use additional assets to
cover a Fund’s market exposure:
When opening or maintaining a long position in a debt-
like security that has a component that is a long position
in a forward contract, or in a standardized future or
forward contract.
When entering into or maintaining a swap position.
See each Fund’s most recently filed management report of
fund performance for information relating to any material
use of derivatives by a Fund over the applicable reporting
period. Also, summary information on a Fund’s derivatives
positions, if any, may be obtained on our website at
www.fidelity.ca > Products > Mutual funds > Derivatives
Used by Specified Fidelity Funds.
For more information about derivative risk, see What is a
mutual fund and what are the risks of investing in a
mutual fund?
Precious metals and other commodities
The Funds may invest up to 10% of their net assets in gold
and/or silver pursuant to regulatory relief obtained by the
Funds. These investments may include gold, gold
certificates, silver, silver certificates, derivatives the
underlying interest of which are gold and/or silver, and
certain Gold/Silver ETFs on an unlevered basis. Gold/Silver
ETFs are ETFs that seek to replicate the performance of
gold and/or silver. The Gold/Silver ETFs may invest directly
or indirectly in gold, silver, or derivatives the underlying
interest of which is gold and/or silver.
Certain Funds may invest, in aggregate, up to 10% of their
net assets in gold and/or silver, on an unlevered or a
leveraged basis, and/or in other physical commodities on
an unlevered basis pursuant to regulatory relief obtained by
the Funds. These investments are made through
Gold/Silver ETFs and/or other Commodity ETFs.
Commodity ETFs are ETFs that seek to replicate the
performance of either one or more physical commodities,
other than gold or silver, or an index that seeks to replicate
the performance of such physical commodities. Commodity
ETFs may invest directly or indirectly in the physical
commodities, or derivatives the underlying interest of which
is such physical commodities. Pursuant to the regulatory
relief obtained, no more than 2.5% of the net assets of the
Fund may be invested in any one commodity sector, other
than gold and/or silver. For this purpose, the relevant
Specific information about each of the mutual funds described in this document (continued)
56
commodity sectors are energy, grains, industrial metals,
livestock, precious metals other than gold and silver, and
softs (i.e., cocoa, cotton, coffee, and sugar). In addition, no
more than 10% of the net assets of the Fund can be
invested, in aggregate, in Gold/Silver ETFs, Commodity
ETFs, leveraged ETFs and inverse ETFs.
For more information about commodity risk, see What is a
mutual fund and what are the risks of investing in a
mutual fund?
Three-tier funds
Certain Funds have received an exemption to allow them to
invest directly or indirectly in underlying funds managed by
Fidelity and these underlying funds may, in turn, hold
directly or indirectly more than 10% of their net assets in
securities of other funds that we manage.
Investments in securities issued by
substantial security holders
Each Fund has received regulatory approval to invest in
debt securities issued by a “substantial security holder” of
the Fund. Substantial security holders are persons or
companies that hold voting securities of a Fund that
represent more than 20% of the voting rights of that Fund.
Certain conditions must be met, including the approval of
the Independent Review Committee or IRC of the Funds.
Cleared swaps
The Funds that use derivatives have received an exemption
from the counterparty credit rating requirement, the
counterparty exposure threshold, and the custodial
requirements set out in NI 81-102 in order to permit these
Funds to clear certain swaps, such as interest rate and
credit default swaps, through futures commission
merchants that are subject to U.S. or European clearing
requirements. These Funds can also deposit cash and
other assets as margin for such swaps provided that certain
conditions are satisfied.
Foreign government securities
Fidelity Global Bond Fund has obtained approval from
securities regulatory authorities to invest:
Up to 20% of its net assets, taken at market value at
the time of purchase, in evidences of indebtedness of
any one issuer if those evidences of indebtedness are
issued, or guaranteed fully as to principal and interest,
by permitted supranational agencies (as defined in NI
81-102) or governments (other than the Government of
Canada, the government of a province or territory of
Canada, or the Government of the United States) and
are rated “AA” by Standard & Poor’s, or have an
equivalent rating by one or more other designated
rating organizations.
Up to 35% of its net assets, taken at market value at
the time of purchase, in evidences of indebtedness of
any one issuer, if those securities are issued by issuers
described above and are rated “AAA” by Standard &
Poor’s, or have an equivalent rating by one or more
other designated rating organizations.
In terms of this approval:
The two limits may not be combined for one issuer.
The securities that are purchased must be traded on a
mature and liquid market.
The acquisition of the securities purchased must be
consistent with the fundamental investment objectives of
the Fund.
For more information on these and other exemptions that
have been granted to the Funds, and the applicable
conditions, see the Funds’ annual information form.
About the Fidelity ClearPath® Retirement
Portfolios
The following twelve Fidelity ClearPath® Retirement
Portfolios are offered under this simplified prospectus:
Fidelity ClearPath® 2005 Portfolio
Fidelity ClearPath® 2010 Portfolio
Fidelity ClearPath® 2015 Portfolio
Fidelity ClearPath® 2020 Portfolio
Fidelity ClearPath® 2025 Portfolio
Fidelity ClearPath® 2030 Portfolio
Fidelity ClearPath® 2035 Portfolio
Fidelity ClearPath® 2040 Portfolio
Fidelity ClearPath® 2045 Portfolio
57
Fidelity ClearPath® 2050 Portfolio
Fidelity ClearPath® 2055 Portfolio
Fidelity ClearPath® Income Portfolio
The Fidelity ClearPath® Portfolios are designed to assist
investors to plan for their retirement, and are structured and
managed around an approximate date, as indicated in the
Funds’ names: 2010, 2020, and so on. We call this the
target date, and it refers to the approximate year an
investor in a Fidelity ClearPath® Portfolio would plan on
retiring. The Fidelity ClearPath® Portfolios are designed for
investors who plan on maintaining their investment, or
withdrawing their investment gradually, following their
retirement.
The Fidelity ClearPath® Retirement Portfolios seek to
achieve their returns by investing primarily in underlying
funds. The underlying funds, in turn, generally invest in any
of Canadian, U.S. and international equity and fixed income
securities, and money market investments, including cash
and short-term bonds. Investing in different types of
investments is referred to as asset allocation.
The portfolio management team rebalances the portfolio of
each Fidelity ClearPath® Portfolio from time to time to
ensure that its investments remain approximately in the
targeted asset allocation percentages. By the nature of the
Portfolios, targeted percentages change as the particular
Portfolio nears its target date. Over time, the percentage of
a Fidelity ClearPath® Portfolio’s assets invested in equity
securities tends to decrease, while its investments in fixed
income and money market investments tends to increase.
In this way, the investments become more conservative as
each Fidelity ClearPath® Portfolio approaches its target
date. The different types of investments that each Fidelity
ClearPath® Portfolio invests in, and each Fidelity
ClearPath® Portfolio’s target asset allocation, are set out in
its investment strategies.
Once the target date is reached, the process of investing
the assets of each Fidelity ClearPath® Portfolio on a more
conservative basis continues for a period of approximately
twenty years, until its asset allocation is substantially similar
to that of Fidelity ClearPath® Income Portfolio. When this
happens, it is expected that each Fidelity ClearPath®
Portfolio will, on prior notice to investors, and on a date
determined by us, be combined with Fidelity ClearPath®
Income Portfolio, and unitholders will then become
unitholders of Fidelity ClearPath® Income Portfolio.
Because of the more conservative nature of the
investments held by Fidelity ClearPath® Income Portfolio,
the risk of it losing money is lower than that of the other
Fidelity ClearPath® Portfolios, which reduces your risk of
losing money on your investment upon your retirement.
There is no guarantee, however, that the Fidelity
ClearPath® Portfolios will provide adequate income or
capital at or through your retirement. Investors should note
that each Fidelity ClearPath® Portfolio’s expected target
allocation to equity securities on or about its target date is
approximately 56%, and its expected target allocation to
equity securities on or about the date it is combined with
Fidelity ClearPath® Income Portfolio is approximately 21%.
The Fidelity ClearPath® Portfolios maintain this exposure to
equity securities in order to provide the potential for some
growth, with a view to helping investors protect the
purchasing power of their investment during their retirement
years. However, a higher allocation to equity securities
increases the risk that a Fidelity ClearPath® Portfolio could
decline in value, perhaps substantially, as your retirement
date approaches, or even following your retirement date.
The following table assists you in determining which Fidelity
ClearPath® Portfolio you should invest in based on your
current age, or intended year of retirement. This table is
only intended as a guide, and it assumes retirement is
taken between the ages 60 to 65.
Age of investor Fund
15–20 years Fidelity ClearPath® 2055 Portfolio
20–25 years Fidelity ClearPath® 2050 Portfolio
25–30 years Fidelity ClearPath® 2045 Portfolio
30–35 years Fidelity ClearPath® 2040 Portfolio
35–40 years Fidelity ClearPath® 2035 Portfolio
40–45 years Fidelity ClearPath® 2030 Portfolio
45–50 years Fidelity ClearPath® 2025 Portfolio
50–55 years Fidelity ClearPath® 2020 Portfolio
55–60 years Fidelity ClearPath® 2015 Portfolio
60–65 years Fidelity ClearPath® 2010 Portfolio
65–70 years (or already retired) Fidelity ClearPath® 2005 Portfolio
As noted, this is only intended as a guide. You should
consult with your financial advisor regarding which Fidelity
Specific information about each of the mutual funds described in this document (continued)
58
ClearPath® Portfolio is best suited to your personal
retirement goals.
4. What are the risks of investing in the fund?
This section sets out a risk checklist that tells you all of the
risks of the Fund. For a complete description of each risk,
see What is a mutual fund and what are the risks of
investing in a mutual fund?
5. Who should invest in this fund?
When you’re deciding on a Fund, it’s important to find one
that has the same investment goals that you do. This
section tells you the kind of investor the Fund may be
appropriate for, and how the Fund could fit in your portfolio.
It’s meant as a guide only. Your financial advisor can help
you make the decisions about which Funds best match your
goals.
Risk classification methodology
The risk ratings referred to in this section help you decide,
along with your financial advisor, whether a Fund is right for
you. This information is only a guide. The investment risk
level indicated for each Fund is required to be determined
in accordance with the Canadian Securities Administrators
(CSA) standardized risk classification methodology, which
is based on the historical volatility of the Fund as measured
by the 10-year annualized standard deviation of the returns
of the Fund. Standard deviation is used to quantify the
historical dispersion of returns around the average returns
over a recent 10-year period. In this context, it can provide
an indication of the amount of variability of returns that
occurred relative to the average return over the 10-year
measurement period. The higher the standard deviation of
a Fund, the greater the range of returns it experienced in
the past. In general, the greater the range of observed or
possible returns, the higher the risk.
For Funds that do not have a 10-year return history, Fidelity
calculates the investment risk level of each Fund by using
the actual return history of the Fund, and imputing the
return history of one or more reference indices for the
remainder of the 10-year period. In the case where a Fund
invests substantially all of its assets in one or more
underlying funds that have existed for at least 10 years,
Fidelity uses the returns of the underlying fund(s) to
complete a 10-year return history of the Fund for the
purpose of estimating its 10-year standard deviation. In the
case where a Fund follows a substantially similar
investment strategy of another Fidelity Fund that has been
in existence for at least 10 years, Fidelity uses the returns
of that Fidelity Fund to complete a 10-year return history of
the Fund for the purpose of estimating its 10-year standard
deviation.
Fidelity assigns a risk rating category that is at, or higher
than, the applicable rating indicated by the standard
deviation ranges in the CSA’s standardized risk
classification methodology, as outlined in the table below.
CSA standard deviation ranges and risk ratings
Standard deviation range Risk rating 0 to less than 6 Low 6 to less than 11 Low to Medium 11 to less than 16 Medium 16 to less than 20 Medium to High 20 or greater High
It is important to note that other types of risk, both
measurable and non-measurable, may exist. It is also
important to note that a Fund’s historical volatility may not
be indicative of its future volatility. Fidelity may exercise its
discretion and assign a Fund a higher risk classification
than indicated by the 10-year annualized standard deviation
and the prescribed ranges if we believe that the Fund may
be subject to other foreseeable risks that the 10-year
annualized standard deviation does not reflect.
Reference index for each Fund
For Funds that do not have 10-years of historical returns,
the following indices or combinations of indices were used
as proxies for Fund returns for periods between the
inception of the Fund and ten years prior to the inception of
the Fund.
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity Greater Canada Fund
70% S&P/TSX Capped Composite Index
30% S&P 500 Index
Fidelity Dividend Investment Trust
70% MSCI Canada Value Capped Index
30% S&P 500 Index
59
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity Canadian Focused Equity Investment Trust
S&P/TSX Capped Composite Index
Fidelity North American Equity Investment Trust
70% S&P 500 Index 30% S&P/TSX Capped
Composite Index Fidelity U.S. Dividend Fund Fidelity U.S. Dividend Registered Fund Fidelity U.S. Dividend Investment Trust
Russell 3000 Value Index
Fidelity U.S. Dividend Currency Neutral Fund
Russell 3000 Value Index – Hedged CAD
Fidelity U.S. All Cap Fund S&P 500 Index
Fidelity Event Driven Opportunities Fund
Russell 3000 Index
Fidelity American Disciplined Equity® Currency Neutral Fund
S&P 500 Index – Hedged CAD
Fidelity Global Large Cap Fund MSCI All Country World Index
Fidelity Global Disciplined Equity® Currency Neutral Fund
MSCI All Country World Index – Hedged CAD
Fidelity Global Intrinsic Value Investment Trust
MSCI World Small Cap Index
Fidelity Global Dividend Investment Trust
MSCI World High Dividend Yield Index
Fidelity Global Small Cap Fund
MSCI All Country World Small Cap Index
Fidelity NorthStar® Currency Neutral Fund
MSCI All Country World Index – Hedged CAD
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity International Disciplined® Equity Currency Neutral Fund
MSCI All Country World Index ex U.S. – Hedged CAD
Fidelity Conservative Income Fund
12% S&P/TSX Capped Composite Index
8% MSCI All Country World Index ex Canada
36% FTSE TMX Canada Universe Bond Index
24% Bloomberg Barclays Global Aggregate Bond Index
20% FTSE TMX Canada Short Term Bond Index
Fidelity Conservative Managed Risk Portfolio
15% S&P/TSX Capped Composite Index
10% MSCI World Small Cap Index
15% MSCI World Index ex-Canada
25% FTSE TMX Canada Universe Bond Index
10% FTSE TMX Canadian Long Term Government Index
10% Bloomberg Barclays Long Term U.S. Treasury Index
15% FTSE TMX Canada Short Term Bond Index
Fidelity Balanced Managed Risk Portfolio
20% S&P/TSX Capped Composite Index
20% MSCI World Small Cap Index
20% MSCI World Index ex-Canada
15% FTSE TMX Canada Universe Bond Index
10% FTSE TMX Canada Long Term Government Bond Index
10% Bloomberg Barclays Long Term U.S. Treasury Index
5% FTSE TMX Canada Short Term Bond Index
Specific information about each of the mutual funds described in this document (continued)
60
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity American Balanced Fund
5% Bloomberg Barclays 3 Month U.S. Treasury Bill Index
25% Bloomberg Barclays U.S. Aggregate Bond Index
5% BofA Merrill Lynch U.S. HY Constrained Index
33% MSCI World Small Cap Index
33% S&P 500 Index
Fidelity American Balanced Currency Neutral Fund
5% Bloomberg Barclays 3 Month U.S. Treasury Bill Index– Hedged CAD
25% Bloomberg Barclays U.S. Aggregate Bond Index – Hedged CAD
5% BofA Merrill Lynch U.S. HY Constrained Index – Hedged CAD
33% MSCI World Small Cap Index – Hedged CAD
33% S&P 500 Index - Hedged CAD
Fidelity U.S. Monthly Income Fund
40% Russell 3000 Value Index 31% Bloomberg Barclays U.S.
Aggregate Bond Index 12% BofA Merrill Lynch U.S.
High Yield Constrained Index 7% FTSE NAREIT Equity REITs
Index 5% BofA Merrill Lynch All U.S.
Convertibles Index 5% JPM EMBI Global Diversified
Index
Fidelity U.S. Monthly Income Currency Neutral Fund
40% Russell 3000 Value Index – Hedged CAD
31% Bloomberg Barclays U.S. Aggregate Bond Index – Hedged CAD
12% BofA Merrill Lynch U.S. High Yield Constrained Index – Hedged CAD
7% FTSE NAREIT Equity REITs Index – Hedged CAD
5% BofA Merrill Lynch All U.S. Convertibles Index – Hedged CAD
5% JPM EMBI Global Diversified Index – Hedged CAD
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity Global Monthly Income Currency Neutral Fund
40% MSCI All Country World Index – Hedged CAD
31% Bloomberg Barclays Global Aggregate Bond Index – Hedged CAD
12% BofA Global High Yield Constrained Index – Hedged CAD
7% FTSE EPRA/NAREIT Developed Index – Hedged CAD
5% JPM EMBI Global Diversified Index – Hedged CAD
5% BofA Merrill Lynch All U.S. Convertible Index – Hedged CAD
Fidelity NorthStar® Balanced Fund
50% MSCI All Country World Index
50% Bloomberg Barclays Global Aggregate Bond Index
Fidelity NorthStar® Balanced Currency Neutral Fund
50% MSCI All Country World Index – Hedged CAD
50% Bloomberg Barclays Global Aggregate Bond Index – Hedged CAD
Fidelity Tactical High Income Fund
30% S&P 500 Index 20% Bloomberg Barclays U.S.
Aggregate Bond Index 50% BofA Merrill Lynch U.S.
High Yield Constrained Index
Fidelity Tactical High Income Currency Neutral Fund
30% S&P 500 Index - Hedged CAD
20% Bloomberg Barclays U.S. Aggregate Bond Index - Hedged CAD
50% BofA Merrill Lynch U.S. High Yield Constrained Index - Hedged CAD
Fidelity Tactical Strategies Fund
60% MSCI All Country World Index
30% FTSE TMX Canada Universe Bond Index
10% Bloomberg Barclays Global Aggregate Bond Index
Fidelity ClearPath® 2050 Portfolio
23.0% S&P/TSX Capped Composite Index
34.5% Russell 3000 Index 34.5% MSCI EAFE + Emerging
Markets Index 8.0% FTSE TMX Canada
Universe Bond Index
61
FUND REFERENCE INDEX OR FIDELITY FUND
Fidelity ClearPath® 2055 Portfolio
23.0% S&P/TSX Capped Composite Index
34.5% Russell 3000 Index 34.5% MSCI EAFE + Emerging
Markets Index 8.0% FTSE TMX Canada
Universe Bond Index
Fidelity Strategic Income Fund
25% Bloomberg Barclays Global Aggregate Bond Index
40% BofA Merrill Lynch U.S. High Yield Constrained Index
5% S&P/LSTA Leveraged Loan Index
15% Bloomberg Barclays U.S. Government Bond Index
15% JPM EMBI Global Diversified Index
Fidelity Strategic Income Currency Neutral Fund
25% Bloomberg Barclays Global Aggregate Bond Index – Hedged CAD
40% BofA Merrill Lynch U.S. High Yield Constrained Index - Hedged CAD
5% S&P/LSTA Leveraged Loan Index - Hedged CAD
15% Bloomberg Barclays U.S. Government Bond Index - Hedged CAD
15% JPM EMBI Global Diversified Index - Hedged CAD
Fidelity Corporate Bond Fund
FTSE TMX Canada All Corporate Bond Capped Index
Fidelity Tactical Fixed Income Fund
85% Fidelity Canadian Bond Fund
15% Fidelity American High Yield Fund
Fidelity Floating Rate High Income Fund
S&P/LSTA Leveraged Loan Index
Fidelity Floating Rate High Income Currency Neutral Fund
S&P/LSTA Leveraged Loan Index - Hedged CAD
Fidelity Multi-Sector Bond Fund
Bloomberg Barclays U.S. Aggregate Bond Index
Fidelity Multi-Sector Bond Currency Neutral Fund
Bloomberg Barclays U.S. Aggregate Bond Index - Hedged CAD
Benchmark Definitions
The Bloomberg Barclays 3 Month U.S. Treasury Bill
Index is a market-value-weighted index of investment-
grade fixed-rate public obligations of the U.S. Treasury with
maturities of three months, excluding zero coupon strips.
The Bloomberg Barclays Global Aggregate Bond Index
covers the most liquid portion of the global investment
grade fixed-rate bond market, including government, credit
and collateralized securities.
The Bloomberg Barclays Long Term U.S. Treasury
Index measures U.S. dollar-denominated, fixed-rate,
nominal debt issued by the U.S. Treasury with various
maturities greater than 10 years.
The Bloomberg Barclays U.S. Aggregate Bond Index is
an unmanaged, market-value-weighted index of taxable
investment-grade fixed-rate debt issues, including
government, corporate, asset-backed, and mortgage
backed securities, with maturities of one year or more.
The Bloomberg Barclays U.S. Government Bond Index
is composed of U.S. Treasury and U.S. Agency Indexes,
and included securities must be rated investment grade,
with a minimum of $250 million par amount outstanding.
The BofA Merrill Lynch All U.S. Convertibles Index is a
market capitalization-weighted index of domestic U.S.
corporate convertible securities including mandatory
convertible preferreds.
The BofA Merrill Lynch Global High Yield Constrained
Index tracks the performance of USD, CAD, GBP and EUR
denominated below investment grade corporate debt
publicly issued in the major domestic or Eurobond markets.
The index imposes a fixed limit on the maximum
concentration of any individual issuer to 2.0%.
The BofA Merrill Lynch U.S. High Yield Constrained
Index is a market value weighted index of U.S. currency
high-yield bonds issued by U.S. and non-U.S. issuers,
including deferred interest bonds and payment-in-kind
securities. Issues included in the index have maturities of
one year or more and have a credit rating lower than BBB-
/Baa3, but are not in default. The index imposes a fixed limit
on the maximum concentration of any individual issuer to
2.0%.
Specific information about each of the mutual funds described in this document (continued)
62
The FTSE EPRA/NAREIT Developed Index was
developed by the European Public Real Estate Association,
a common interest group aiming to promote, develop and
represent the European public real estate sector, and the
North American Association of Real Estate Investment
Trusts (“NAREIT”), the representative voice of the U.S.
REIT industry. The index series is designed to reflect the
stock performance of companies engaged in specific
aspects of the North American, European and Asian Real
Estate markets.
The FTSE NAREIT Equity REITs Index contains all Equity
REITs not designated as Timber REITs or Infrastructure
REITs. The FTSE NAREIT U.S. Real Estate Index Series is
designed to present investors with a comprehensive family
of REIT performance indexes that spans the commercial
real estate space across the U.S. economy. The index
series provides investors with exposure to all investment
and property sectors. In addition, the more narrowly
focused property sector and sub-sector indexes provide the
facility to concentrate commercial real estate exposure in
more selected markets.
The FTSE TMX Canada All Corporate Bond Capped
Index comprises semi-annual-pay fixed-rate corporate
bonds used domestically in Canada and denominated in
Canadian dollars, with an investment-grade rating and a
remaining effective term to maturity of at least one year.
With a 5.0% cap, the Index will see a maximum benchmark
weighting of 5.0% for all single issuers in the Index.
The FTSE TMX Canada Long Term Government Bond
Index represents a broad measure of the Long-term
Canadian Government fixed income market where the
effective term for all issues is equal to or exceeds 10 years.
The FTSE TMX Canada Short Term Bond Index includes
bonds with remaining effective terms greater than 1 year
and less than or equal to 5 years.
The FTSE TMX Canada Universe Bond Index is
capitalization-weighted, with more than 950 Canadian
bonds, and includes the highest quality bonds with terms-
to-maturity of one to thirty years, designed to reflect the
Canadian bond market.
The JPM EMBI (“Emerging Markets Bond Index”) is J.P.
Morgan’s index of dollar-denominated sovereign bonds
issued by a selection of emerging market countries and is
the most widely used and comprehensive emerging market sovereign debt benchmark. The J.P. Morgan EMBI Global
Diversified Index limits the weights of those index
countries with larger debt stocks by only including a
specified portion of those countries eligible current face
amounts of debt outstanding.
The MSCI All Country World Index is an unmanaged, free
float-adjusted market capitalization weighted index
composed of stocks of companies located in countries
throughout the world. It is designed to measure equity
market performance in global developed and emerging
markets.
The MSCI All Country World Index ex Canada is an
unmanaged, free float-adjusted market capitalization
weighted index composed of stocks of companies located
in countries throughout the world except Canada. It is
designed to measure equity market performance in global
developed and emerging markets excluding Canada.
The MSCI All Country World Index ex U.S. captures large
and mid-cap representation across developed markets
countries (excluding the U.S.) and Emerging Markets
countries.
The MSCI All Country World Small Cap Index is an
unmanaged, free float-adjusted market capitalization
weighted index composed of stocks of companies located
in countries throughout the world. It is designed to measure
small-capitalization equity market performance in global
developed and emerging markets.
The MSCI Canada Value Capped Index seeks to measure
the performance of the Canadian value equity market.
Value equities are defined as having a higher dividend yield
and lower price-to-book and price-to-earnings ratios relative
to the broader Canadian equity market.
The MSCI EAFE + Emerging Markets Index is an equity
index which captures large and mid-cap representation
across 21 developed markets countries and 23 emerging
markets countries around the world.
The MSCI World High Dividend Yield Index is based
on the MSCI World Index, its parent index, and includes
large and mid-cap stocks across 23 developed markets
countries. The index is designed to reflect the performance
63
of equities in the parent index (excluding REITs) with higher
dividend income and quality characteristics than average
dividend yields that are both sustainable and persistent.
The index also applies quality screens and reviews 12-
month past performance to omit stocks with potentially
deteriorating fundamentals that could force them to cut or
reduce dividends.
The MSCI World Index is a market capitalization weighted
index composed of companies representative of the market
structure of developed market countries in North America, Europe and the Asia/Pacific Region. The MSCI
World Index ex Canada captures large and mid-cap
representation across 22 of 23 developed markets
countries – excluding Canada.
The MSCI World Small Cap Index captures small cap
representation across 23 developed markets countries.
The Russell 3000 Index measures the performance of the
3,000 largest U.S. companies based on the total market
capitalization, which represents 98.0% of the investable
U.S. equity market.
The Russell 3000 Value Index measures the performance
of the broad value segment of the U.S. equity value
universe. It includes those Russell 3000 Index companies
that generally have lower price-to-book ratios and lower
forecasted growth values.
The S&P/LSTA Leveraged Loan Index is a market
capitalization-weighted index designed to represent the
performance of U.S. dollar-denominated institutional
leveraged loan portfolios using current market weightings,
spreads and interest payments.
The S&P/TSX Composite Index is an index of stocks that
are generally considered to represent the Canadian equity
market. The S&P/TSX Capped Composite Index is the
same as the S&P/TSX Composite index except that it is
adjusted quarterly so that no single stock has a relative
weight in the index greater than 10.0%.
The S&P 500 Index is a widely recognized index of 500
U.S. common stocks of large and mid-capitalization
companies.
You can get details of the methodology that we use to
identify the risk level of a Fund by calling us at 1-800-263-
4077, by sending us an email at [email protected]
(for assistance in English) or [email protected] (for
assistance in French), or by writing to us at Fidelity
Investments Canada ULC, 483 Bay Street, Suite 300,
Toronto, Ontario, M5G 2N7.
6. Distribution policy
This section tells you when you can expect to receive
payments of net income, capital gains, or returns of capital
from the Fund. We may pay distributions at other times.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the same series of
the same Fund.
Except as described below, distributions on units held in
other registered plans or in non-registered accounts are
reinvested in additional units of the same series of the
same Fund unless you tell us in writing that you want to
receive them in cash. You won’t pay any sales charges on
reinvested distributions or on cash distributions.
Distributions paid on the redemption of units are not
reinvested, but are instead paid to you in cash. Cash
distributions can be paid directly to your bank account by
way of electronic funds transfer or by cheque. We may
charge you a fee of $25 for each cash distribution you
request by cheque.
For Funds that make quarterly distributions of income, the
distributions made at the end of each of the first three
calendar quarters are likely to include distributions of
income.
The T-SWP® Series make monthly distributions of an
amount comprised of a return of capital and/or income on
the last business day of each month. As well, for these
series, any income or capital gains distributed in December
of each year must be reinvested in additional units of the
Funds.
The monthly distributions on the T-SWP® Series are paid in
cash unless you tell us in writing that you want them to be
reinvested in additional units of the same series of the
Fund.
Specific information about each of the mutual funds described in this document (continued)
64
Series A, B, E1, E2, E3, E4, E5, F, P1, P2, P3, P4 and P5
of certain Funds make monthly distributions of an amount
that is generally comprised of net income and/or return of
capital on the last business day of each month, at a fixed
rate. In addition to the monthly distributions, capital gains
and any net income not distributed previously in the year
are distributed in December of each year. These year-end
distributions must be reinvested in additional units of the
respective Fund.
For Series E1T5, E2T5, E3T5, E4T5, E5T5, F5, P1T5,
P2T5, P3T5, P4T5, P5T5, S5 and T5 units, the aggregate
monthly distributions that are made each year are expected
to be between approximately 4% and 6% of the average net
asset value of the applicable series of the Equity Funds
over that year, and between approximately 4.5% and 5.5%
of the average net asset value of the applicable series of
the Asset Allocation and Balanced Funds over that year.
The aggregate monthly distributions that are made on
Series F8, S8 and T8 units each year are expected to be
between approximately 6% and 10% of the average net
asset value of the applicable series of the Equity Funds
over that year, and between approximately 7.5% and 9% of
the average net asset value of the applicable series of the
Asset Allocation and Balanced Funds over that year.
A return of capital distribution is not taxable, but reduces
the adjusted cost base of your units. You should not
confuse this cash flow distribution with a Fund’s rate of
return or yield.
You can find more information about distributions and
adjusted cost base in the Income tax considerations for
investors section.
7. Fund expenses indirectly borne by investors
Each series of a Fund is responsible for its own expenses
and its proportionate share of common Fund expenses that
are not included as part of the Administration Fee. While
you don’t pay these costs directly, they reduce the Fund’s
return. The hypothetical example in this section helps you
compare the expenses of the Fund to the costs of investing
in other Funds. You can find more information about the
costs of investing in the Funds in the Fees and expenses
section.
The example shows the expenses you would pay if:
You invested $1,000 in the Fund for each period shown
and paid the maximum sales charge.
The Fund’s return was 5% each year.
You didn’t use the 10% free amount described under
the deferred sales charge option.
The Fund paid the same management expense ratio or
MER in all periods as it did in its last financial year.
For Fidelity Multi-Sector Bond Fund, Fidelity Multi-Sector
Bond Currency Neutral Fund and certain series of the
Funds, we have not shown examples of these expenses
because these series and Funds are new, and have no
historical fund expense information to disclose.
Profiles of our Equity Funds
65
Our Equity Funds allow you to be part of the potential for economic growth in Canada and abroad.
These Funds aim to achieve significant growth over the long-term. How do they do it? Primarily by
investing in shares of companies that the portfolio managers believe have good growth potential
or value that hasn’t been recognized by investors.
As the name implies, our Equity Funds invest primarily in equity securities like common shares.
Over the long-term, equity securities have in the past generally provided higher returns and higher
risk than other kinds of investments. For this reason, equity funds are generally best suited for
longer-term investment goals. They may also help protect you against a loss of buying power that
inflation can cause over time.
Equity funds tend to be riskier than other kinds of investments because the prices of equity
securities can change quickly and dramatically. Just how big the risk is depends on the securities
the funds invest in. Funds that tend to concentrate on a certain geographic region or a particular
industry typically have more risk than widely diversified funds.
66
Canadian Equity Funds
Fidelity Canadian Disciplined Equity® Fund
Fidelity Canadian Growth Company Fund
Fidelity Canadian Large Cap Fund
Fidelity Canadian Opportunities Fund
Fidelity Dividend Fund
Fidelity Greater Canada Fund
Fidelity Dividend Plus Fund
Fidelity Special Situations Fund
Fidelity True North® Fund
Fidelity Canadian Focused Equity Investment Trust
Fidelity Dividend Investment Trust
Canada is a leader in industries like natural resources and
financial services companies. By investing in Canadian
equity funds, you can share in the growth potential of
companies in these and other industries.
North American Equity Funds Fidelity North American Equity Fund
U.S. Equity Funds
Fidelity American Disciplined Equity® Fund
Fidelity American Disciplined Equity®
Currency Neutral Fund
Fidelity American Equity Fund
Fidelity U.S. Focused Stock Fund
Fidelity Small Cap America Fund
Fidelity U.S. Dividend Fund
Fidelity U.S. Dividend Currency Neutral Fund
Fidelity U.S. Dividend Investment Trust
Fidelity U.S. Dividend Registered Fund
Fidelity U.S. All Cap Fund
Fidelity Event Driven Opportunities Fund
Investing in the U.S. can be a first step toward diversifying into other countries and currencies. Our neighbour to the south represents the world’s largest market and is home to many of the world’s biggest and best companies.
Global and International Equity Funds
Fidelity AsiaStar® Fund
Fidelity China Fund
Fidelity Emerging Markets Fund
Fidelity Europe Fund
Fidelity Far East Fund
Fidelity Global Fund
Fidelity Global Disciplined Equity® Fund
Fidelity Global Disciplined Equity®
Currency Neutral Fund
Fidelity Global Dividend Fund
Fidelity Global Large Cap Fund
Fidelity Global Concentrated Equity Fund
Fidelity Global Small Cap Fund
Fidelity International Disciplined Equity® Fund
Fidelity International Disciplined Equity®
Currency Neutral Fund
Fidelity International Concentrated Equity Fund (formerly,
Fidelity International Value Fund)
Fidelity Japan Fund
Fidelity Frontier Emerging Markets Fund (formerly, Fidelity
Latin America Fund)
Fidelity NorthStar® Fund
Fidelity NorthStar® Currency Neutral Fund
Fidelity International Growth Fund
Fidelity Global Dividend Investment Trust
Fidelity Global Intrinsic Value Investment Trust
These Funds invest primarily in equity securities of
companies located outside of Canada. Canada represents
less than 5% of the world’s securities markets. By investing
globally, you can take advantage of other investment
opportunities. It also allows you to diversify your portfolio
because you’re not limiting yourself to the performance of
the markets in a single country.
Global Sector Funds
Fidelity Global Consumer Industries Fund
Fidelity Global Financial Services Fund
Fidelity Global Health Care Fund
Fidelity Global Natural Resources Fund
Fidelity Global Real Estate Fund
Fidelity Technology Innovators Fund
Fidelity Global Telecommunications Fund
Our Global Sector Funds target the stocks of companies in
a specific sector or industry of the economy. By tapping into
a specific area, investors can concentrate on that sector’s
potential.
CANADIAN EQUITY FUNDS
Fidelity Canadian Disciplined Equity® Fund
67
Fund details Fund type Canadian equity fund
Date started Series A and B - September 29, 1998 Series F - October 10, 2000 Series O - May 18, 2001 Series S8 and T8 - October 31, 2002 Series S5 and T5 - November 6, 2006 Series F5 and F8 - April 17, 2013 Series P1, P1T5, P2 AND P3 - December 4, 2015Series E1, E1T5, E2, E2T5, E3, E4 and E5 – February 5, 2016
Series P2T5 – January 6, 2017
Series P3T5, P4 and P5 – January 26, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8 T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 and E2T5 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.70% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 and P2T5 0.80% 0.140%
P3 and P3T5 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
S&P/TSX Capped Composite Index, except that the
real estate sector is considered an industry group
within the financials sector.
May invest in securities not included in the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Quality of management.
o Financial condition.
o Potential for earnings growth over the long-term.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The Fund may also:
Invest in companies of any size.
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Fidelity Canadian Disciplined Equity® Fund (continued)
68
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Main risk Additional risk
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
equity exposure, and can handle the volatility of returns
generally associated with equity investments. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
69
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year
3 years 5 years 10 years
Series A $ 25.22 79.49 139.33 317.15Series B $ 23.06 72.70 127.43 290.08Series E1 $ 22.45 70.77 124.04 282.34Series E1T5 $ 23.37 73.67 129.13 293.95Series E2 $ 21.42 67.53 118.37 269.45Series E2T5 $ 21.73 68.50 120.07 273.32Series E3 $ 20.40 64.30 112.71 256.56Series E4 $ 19.78 62.36 109.31 248.82Series E5 $ 19.48 61.39 107.61 244.95Series F $ 11.28 35.54 62.30 141.82Series F5 $ 11.58 36.51 64.00 145.68Series F8 $ 11.48 36.19 63.43 144.39Series P1 $ 10.76 33.93 59.47 135.37Series P1T5 $ 10.35 32.64 57.20 130.21Series P2 $ 10.35 32.64 57.20 130.21Series P2T5 $ 9.74 30.70 53.81 122.48Series P3 $ 9.43 29.73 52.11 118.61Series P3T5 $ 8.41 26.50 46.44 105.72Series P4 $ 8.61 27.14 47.58 108.30Series P5 $ 8.10 25.53 44.74 101.85Series S5 $ 23.37 73.67 129.13 293.95Series S8 $ 22.96 72.38 126.87 288.79Series T5 $ 25.22 79.49 139.33 317.15Series T8 $ 25.01 78.84 138.20 314.57
CANADIAN EQUITY FUNDS
Fidelity Canadian Growth Company Fund
70
Fund details Fund type Canadian equity fund
Date started Series A and B - July 11, 1994 Series F - October 10, 2000 Series O - August 31, 2001 Series P1, P2, P3 and P4 – December 4, 2015 Series E1, E2, E3, E4 and E5 - February 5, 2016Series F5 and F8 – September 16, 2016 Series S5, S8, T5 and T8 – January 6, 2017 Series P5 – January 26, 2017 Series P1T5 – April 21, 2017 Series P2T5 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P4, P5, O, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 1.825% 0.205%
E2 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.70% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 and P2T5 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in shares of companies that trade at prices that
reflect attractive valuations based on its assessment of
each company’s potential for growth.
Identifies investment opportunities in undervalued
companies that may be poised to benefit from
improvements in company or industry fundamentals.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
o For private companies, share price relative to
potential public offering or acquisition price.
The Fund may also:
Invest in companies of any size, but tends to focus on
medium to large companies.
Concentrate its investments in relatively few
companies.
Invest in securities of private companies.
Invest up to 49% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
71
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit Currency Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management
Main risk Additional risk
Repurchase transactions Reverse repurchase transactions Securities lending Series Short selling Small company Specialization
As at September 30, 2017, one investor held approximately
12.7% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
and foreign equity exposure, and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fidelity Canadian Growth Company Fund (continued)
72
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.22 79.49 139.33 317.15Series B $ 23.17 73.03 128.00 291.37Series E1 $ 22.55 71.09 124.60 283.63Series E2 $ 21.63 68.18 119.51 272.03Series E3 $ 20.50 64.63 113.28 257.85Series E4 $ 19.78 62.36 109.31 248.82Series E5 $ 20.71 65.27 114.41 260.43Series F $ 11.38 35.87 62.87 143.10Series F5 $ 11.17 35.22 61.74 140.53Series F8 $ 11.38 35.87 62.87 143.10Series P1 $ 10.76 33.93 59.47 135.37Series P1T5 $ 10.76 33.93 59.47 135.37Series P2 $ 10.46 32.96 57.77 131.50Series P3 $ 9.84 31.02 54.37 123.77Series P4 $ 9.23 29.08 50.97 116.03Series P5 $ 8.82 27.79 48.71 110.87Series S5 $ 23.06 72.70 127.43 290.08Series S8 $ 23.47 74.00 129.70 295.23Series T5 $ 25.52 80.46 141.03 321.02Series T8 $ 25.01 78.84 138.20 314.57
CANADIAN EQUITY FUNDS
Fidelity Canadian Large Cap Fund
73
Fund details Fund type Canadian equity fund
Date started Series A and B - February 1, 1988 Series F - October 10, 2000 Series O - January 2, 2001 Series F5, F8, S5, S8, T5 and T8 - April 17, 2013
Series P1, P1T5, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 and E5 - February 5, 2016
Series P2T5 and P3T5 – September 16, 2016
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5 P3, P3T5 P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 and E2T5 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.70% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 and P2T5 0.80% 0.140%
P3 and P3T5 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies and tends to focus on large companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Considers large companies to be those similar in size
to the companies in the S&P/TSX 60 Index, taking into
account all outstanding shares.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in small and medium companies.
Invest up to 49% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Fidelity Canadian Large Cap Fund (continued)
74
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit
Currency Cyber security Derivative Equity
ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series
Main risk Additional risk
Short selling Small company Specialization
As at September 30, 2017, one investor held approximately
18.1% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
and foreign equity exposure, and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
75
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.52 80.46 141.03 321.02Series B $ 23.27 73.35 128.57 292.66Series E1 $ 22.86 72.06 126.30 287.50Series E1T5 $ 22.96 72.38 126.87 288.79Series E2 $ 22.24 70.12 122.90 279.76Series E2T5 $ 22.86 72.06 126.30 287.50Series E3 $ 21.22 66.89 117.24 266.87Series E4 $ 21.32 67.21 117.81 268.16Series E5 $ 19.99 63.01 110.44 251.40Series F $ 11.38 35.87 62.87 143.10Series F5 $ 11.38 35.87 62.87 143.10Series F8 $ 11.38 35.87 62.87 143.10Series P1 $ 10.76 33.93 59.47 135.37Series P1T5 $ 10.76 33.93 59.47 135.37Series P2 $ 10.46 32.96 57.77 131.50Series P2T5 $ 8.20 25.85 45.31 103.14Series P3 $ 9.84 31.02 54.37 123.77Series P3T5 $ 10.05 31.67 55.50 126.34Series P4 $ 8.71 27.47 48.14 109.58Series P5 $ 8.71 27.47 48.14 109.58Series S5 $ 23.47 74.00 129.70 295.23Series S8 $ 22.96 72.38 126.87 288.79Series T5 $ 25.42 80.14 140.46 319.73Series T8 $ 25.11 79.17 138.76 315.86
CANADIAN EQUITY FUNDS
Fidelity Canadian Opportunities Fund
76
Fund details Fund type Canadian equity fund
Date started Series A and B - July 21, 2000 Series F - October 10, 2000 Series O - October 1, 2003 Series F5, F8, S5, S8, T5 and T8 - April 17, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3, E4 and E5 - February 5, 2016
Series E1T5 and P1T5 – September 16, 2016
Type of securities Series A, B, E1, E1T5, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.70% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 0.80% 0.140%
P3 0.775% 0.115%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies. The Fund may sometimes have significant
exposure to relatively few companies and industries. The
Fund may choose to invest up to 10% of its assets at the
time of purchase in the securities of private companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses on a company’s fundamentals and invests in
shares of companies that trade at prices that reflect
attractive valuations based on its assessment of each
company’s potential for growth and earnings.
When buying and selling equity securities, may
consider factors about a company, including:
o Industry conditions.
o Market and economic conditions.
o For private companies, share price relative to
potential public offering or acquisition price.
The Fund may also:
Invest in companies of any size, but tends to focus on
small to medium companies.
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
Due to its focus on small to medium companies, some of
the Fund’s holdings may be less liquid than others.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
77
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit
Currency Cyber security Derivative Equity
ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series
Main risk Additional risk
Short selling Small company Specialization
As at September 30, 2017, two investors held
approximately 13.0% and 16.3%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
equity exposure, and can handle the volatility of returns
generally associated with equity investments in small-and-
mid-capitalization companies. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fidelity Canadian Opportunities Fund (continued)
78
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year
3 years 5 years 10 years
Series A $ 25.52 80.46 141.03 321.02Series B $ 23.47 74.00 129.70 295.23Series E1 $ 22.86 72.06 126.30 287.50Series E1T5 $ 23.27 73.35 128.57 292.66Series E2 $ 21.83 68.83 120.64 274.61Series E3 $ 22.04 69.47 121.77 277.19Series E4 $ 19.89 62.69 109.88 250.11Series E5 $ 19.89 62.69 109.88 250.11Series F $ 11.48 36.19 63.43 144.39Series F5 $ 11.79 37.16 65.13 148.26Series F8 $ 11.89 37.48 65.70 149.55Series P1 $ 11.07 34.90 61.17 139.24Series P1T5 $ 11.17 35.22 61.74 140.53Series P2 $ 10.56 33.28 58.34 132.79Series P3 $ 9.94 31.34 54.94 125.06Series S5 $ 23.99 75.61 132.53 301.68Series S8 $ 23.88 75.29 131.97 300.39Series T5 $ 25.93 81.75 143.29 326.18Series T8 $ 24.70 77.87 136.50 310.71
CANADIAN EQUITY FUNDS
Fidelity Dividend Fund
79
Fund details Fund type Canadian dividend fund
Date started Series A, B, F, O, S8 and T8 - May 25, 2005 Series S5 and T5 - November 6, 2006 Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 and E5 - February 5, 2016
Series P2T5 – January 6, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.85% 0.280%
B, S5 and S8 1.70% 0.230%
E1 and E1T5 1.70% 0.205%
E2 and E2T5 1.675% 0.180%
E3 1.675% 0.155%
E4 1.65% 0.155%
E5 1.60% 0.130%
F, F5 and F8 0.70% 0.190%
P1 and P1T5 0.70% 0.165%
P2 and P2T5 0.675% 0.140%
P3 0.675% 0.115%
P4 0.65% 0.115%
P5 0.60% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
It invests primarily in equity securities of companies that
pay dividends or that are expected to pay dividends,
income trusts, fixed income securities and other securities
that are expected to distribute income. The Fund can invest
in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests mainly in Canadian equity securities.
Focuses primarily on a company’s valuations.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Quality of management.
o Ability to pay dividends.
When buying and selling fixed income securities,
analyzes factors, such as:
o Features of the security.
o Current price compared to the estimated long-term
value.
o Credit quality of the issuer.
o Short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest in companies of any size anywhere in the world.
Invest in real estate investment trusts, which are called
REITs, located in Canada and the U.S.
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Fidelity Dividend Fund (continued)
80
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
As the Fund invests in foreign securities, it has foreign
currency exposure. The portfolio management team may
hedge some or all of its foreign currency exposure. This
decision is part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Fund’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Fund’s currency
exposure. The Fund’s foreign currency exposure may
change at any time, and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
17.6% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want the potential for
both income and capital gains, and can handle the volatility
81
of returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.58 74.32 130.27 296.52Series B $ 21.53 67.86 118.94 270.74Series E1 $ 21.22 66.89 117.24 266.87Series E1T5 $ 21.42 67.53 118.37 269.45Series E2 $ 20.50 64.63 113.28 257.85Series E2T5 $ 19.07 60.10 105.35 239.80Series E3 $ 19.68 62.04 108.74 247.53Series E4 $ 20.60 64.95 113.84 259.14Series E5 $ 19.37 61.07 107.05 243.67Series F $ 9.64 30.37 53.24 121.19Series F5 $ 9.74 30.70 53.81 122.48Series F8 $ 9.43 29.73 52.11 118.61
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series P1 $ 9.33 29.40 51.54 117.32Series P1T5 $ 9.74 30.70 53.81 122.48Series P2 $ 8.92 28.11 49.27 112.16Series P2T5 $ 9.12 28.76 50.41 114.74Series P3 $ 8.61 27.14 47.58 108.30Series P4 $ 8.41 26.50 46.44 105.72Series P5 $ 7.48 23.59 41.35 94.11Series S5 $ 21.83 68.83 120.64 274.61Series S8 $ 21.63 68.18 119.51 272.03Series T5 $ 23.99 75.61 132.53 301.68Series T8 $ 23.78 74.97 131.40 299.10
CANADIAN EQUITY FUNDS
Fidelity Greater Canada Fund
82
Fund details Fund type Canadian equity fund
Date started Series A, B, F, O, S5, S8, T5 and T8 - January 7, 2008 Series F5 and F8 - April 17, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series E2T5 – January 6, 2017
Series P1T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3, E4, F*, F5, F8, O, P1*, P1T5, P2*, P3, S5, S8, T5 and T8units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 and E2T5 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 0.80% 0.140%
P3 0.775% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies, as well as foreign equity securities.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in shares of companies that trade at prices that
reflect attractive valuations based on its assessment of
each company’s potential for growth.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
o For private companies, share price relative to
potential public offering or acquisition price.
The Fund may also:
Invest in companies of any size.
Invest in securities of private companies.
Invest up to 49% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
83
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit
Currency Cyber security Derivative Equity
ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending
Main risk Additional risk
Series Short selling Small company Specialization
As at September 30 2017, one investor held approximately
27.8% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
and foreign equity exposure and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
Fidelity Greater Canada Fund (continued)
84
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.93 81.75 143.29 326.18Series B $ 23.88 75.29 131.97 300.39Series E1 $ 23.37 73.67 129.13 293.95Series E1T5 $ 23.58 74.32 130.27 296.52Series E2 $ 22.76 71.74 125.74 286.21Series E2T5 $ 22.86 72.06 126.30 287.50Series E3 $ 22.35 70.44 123.47 281.05Series E4 $ 21.42 67.53 118.37 269.45Series F $ 11.89 37.48 65.70 149.55Series F5 $ 11.79 37.16 65.13 148.26Series F8 $ 11.69 36.84 64.57 146.97Series P1 $ 11.28 35.54 62.30 141.82Series P1T5 $ 11.28 35.54 62.30 141.82Series P2 $ 10.66 33.61 58.90 134.08Series P3 $ 9.94 31.34 54.94 125.06Series S5 $ 23.99 75.61 132.53 301.68Series S8 $ 23.78 74.97 131.40 299.10Series T5 $ 26.14 82.40 144.43 328.75Series T8 $ 25.93 81.75 143.29 326.18
CANADIAN EQUITY FUNDS
Fidelity Dividend Plus Fund
85
Fund details Fund type Canadian equity fund
Date started Series A, B, F and O - May 25, 2005
Series S5, S8, T5 and T8 - December 22, 2011
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3 and E4 - February 5, 2016
Series P5 – September 16, 2016
Series P2T5 – April 21, 2017
Series E5 – September 22, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.85% 0.280%
B, S5 and S8 1.70% 0.230%
E1 and E1T5 1.70% 0.205%
E2 and E2T5 1.675% 0.180%
E3 1.675% 0.155%
E4 1.65% 0.155%
E5 1.60% 0.130%
F, F5 and F8 0.70% 0.190%
P1 and P1T5 0.70% 0.165%
P2 and P2T5 0.675% 0.140%
P3 0.675% 0.115%
P4 0.65% 0.115%
P5 0.60% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a high total investment return.
It invests primarily in equity securities of Canadian
companies that pay or are expected to pay dividends and
other securities that are expected to distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests primarily in Canadian equity securities and in
real estate investment trusts, which are called REITs,
located in Canada and the U.S.
When buying and selling equity securities and REITs,
may consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Ability to sustain dividends or income distributions.
o Quality of management.
The Fund may also:
Invest in companies of any size anywhere in the world.
Invest up to 49% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fidelity Dividend Plus Fund (continued)
86
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Fund’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Fund’s currency
exposure. The Fund’s foreign currency exposure may
change at any time, and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit
Main risk Additional risk
Currency Cyber security Derivative Equity
ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
As at September 30, 2017, three investors held
approximately 54.6%, 10.3% and 11.5%, respectively, of
the units of the Fund. See Large transaction risk in What
is a mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Canadian and foreign equity securities that pay or are
expected to pay dividends, want the potential for both
income and capital gains and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
87
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.47 74.00 129.70 295.23Series B $ 21.42 67.53 118.37 269.45Series E1 $ 21.22 66.89 117.24 266.87Series E1T5 $ 21.53 67.86 118.94 270.74Series E2 $ 20.71 65.27 114.41 260.43Series E2T5 $ 19.48 61.39 107.61 244.95Series E3 $ 20.71 65.27 114.41 260.43Series E4 $ 20.09 63.33 111.01 252.69Series F $ 9.64 30.37 53.24 121.19Series F5 $ 9.64 30.37 53.24 121.19Series F8 $ 9.64 30.37 53.24 121.19Series P1 $ 9.33 29.40 51.54 117.32Series P1T5 $ 9.43 29.73 52.11 118.61Series P2 $ 8.71 27.47 48.14 109.58Series P2T5 $ 8.92 28.11 49.27 112.16Series P3 $ 8.82 27.79 48.71 110.87Series P4 $ 8.41 26.50 46.44 105.72Series P5 $ 7.59 23.91 41.91 95.40Series S5 $ 21.53 67.86 118.94 270.74Series S8 $ 21.83 68.83 120.64 274.61Series T5 $ 23.47 74.00 129.70 295.23Series T8 $ 22.65 71.41 125.17 284.92
CANADIAN EQUITY FUNDS
Fidelity Special Situations Fund
88
Fund details Fund type Canadian equity fund
Date started Series A, B and F - April 18, 2007
Series O - May 29, 2008 Series F5, F8, S5, S8, T5 and T8 - April 17, 2013
Series P1, P1T5, P2, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series P2T5 – September 16, 2016
Series E2T5 – January 6, 2017
Series P5 – May 10, 2017
Series E5 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4*, E5*, F*, F5, F8, O, P1*, P1T5, P2*, P2T5, P3*, P4*, P5*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A. T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 and E2T5 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.700% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 and P2T5 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.090%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies. It seeks to identify investment opportunities that
are believed to represent special situations.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to identify investment opportunities that it believes
represent “special situations”, which are investments
that may realize significant positive revaluation, the
potential for which has not been realized by the broader
market, including among high growth companies with
underappreciated potential and among significantly
undervalued companies that may be poised to benefit
from improvements in company or industry
fundamentals.
Invests in shares of companies that trade at prices that
reflect attractive valuations based on its assessment of
each company’s potential for growth.
When buying and selling equity securities, may consider other factors about a company, including:
o Financial condition.
o Industry position.
o Growth potential.
o Economic and market conditions.
o Earnings estimates.
o Quality of management.
o For private companies, share price relative to potential public offering or acquisition price.
The Fund may also:
Invest in companies of any size, but tends to focus on
small and medium companies.
Invest up to 49% of its net assets in foreign securities.
Invest in securities of private companies.
May concentrate its investments in relatively few
companies and industries.
89
Invest in fixed income securities of any quality or term.
Hold cash.
Due to its focus on small to medium companies, some of
the Fund’s holdings may be less liquid than others.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions,
Use derivatives for hedging and non-hedging purposes,
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, an investor held approximately
23.9% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
and foreign equity exposure and can handle the volatility of
returns generally associated with equity investments in
small to medium capitalization companies. The Fund is not
an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Fidelity Special Situations Fund (continued)
90
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and
expenses
payable over
1 year
3 years 5 years 10 years
Series A $ 25.11 79.17 138.76 315.86Series B $ 23.06 72.70 127.43 290.08Series E1 $ 22.35 70.44 123.47 281.05Series E1T5 $ 22.76 71.74 125.74 286.21Series E2 $ 21.94 69.15 121.20 275.90Series E2T5 $ 21.32 67.21 117.81 268.16Series E3 $ 20.71 65.27 114.41 260.43Series E4 $ 19.78 62.36 109.31 248.82Series F $ 11.28 35.54 62.30 141.82Series F5 $ 11.48 36.19 63.43 144.39Series F8 $ 11.48 36.19 63.43 144.39Series P1 $ 10.76 33.93 59.47 135.37Series P1T5 $ 10.87 34.25 60.04 136.66Series P2 $ 10.46 32.96 57.77 131.50Series P2T5 $ 10.46 32.96 57.77 131.50Series P3 $ 9.53 30.05 52.67 119.90Series P4 $ 9.23 29.08 50.97 116.03Series P5 $ 8.30 26.17 45.88 104.43Series S5 $ 23.27 73.35 128.57 292.66Series S8 $ 22.55 71.09 124.60 283.63Series T5 $ 25.42 80.14 140.46 319.73Series T8 $ 25.52 80.46 141.03 321.02
CANADIAN EQUITY FUNDS
Fidelity True North® Fund
91
Fund details Fund type Canadian equity fund
Date started Series A and B - September 20, 1996
Series F - October 10, 2000
Series O - January 2, 2001
Series S8 and T8 - October 31, 2002
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 and E5 - February 5, 2016
Series P4 and P5 – September 16, 2016
Series P2T5 – April 21, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.280%
B, S5 and S8 1.85% 0.230%
E1 and E1T5 1.825% 0.205%
E2 and E2T5 1.80% 0.180%
E3 1.775% 0.155%
E4 1.725% 0.155%
E5 1.70% 0.130%
F, F5 and F8 0.85% 0.190%
P1 and P1T5 0.825% 0.165%
P2 and P2T5 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.090%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
Fidelity True North® Fund (continued)
92
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity Concentration Credit
Currency Cyber security Derivative Equity
ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company
Main risk Additional risk
Specialization
As at September 30, 2017, one investor held approximately
10.3% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
equity exposure and can handle the volatility of returns
generally associated with equity investments. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
93
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.32 79.81 139.90 318.44Series B $ 23.17 73.03 128.00 291.37Series E1 $ 22.65 71.41 125.17 284.92Series E1T5 $ 22.55 71.09 124.60 283.63Series E2 $ 21.94 69.15 121.20 275.90Series E2T5 $ 21.63 68.18 119.51 272.03Series E3 $ 21.32 67.21 117.81 268.16Series E4 $ 21.22 66.89 117.24 266.87Series E5 $ 18.66 58.81 103.08 234.64Series F $ 11.38 35.87 62.87 143.10Series F5 $ 11.58 36.51 64.00 145.68Series F8 $ 11.58 36.51 64.00 145.68Series P1 $ 10.87 34.25 60.04 136.66Series P1T5 $ 10.97 34.58 60.60 137.95Series P2 $ 10.35 32.64 57.20 130.21Series P2T5 $ 10.35 32.64 57.20 130.21Series P3 $ 9.84 31.02 54.37 123.77Series P4 $ 9.43 29.73 52.11 118.61Series P5 $ 8.82 27.79 48.71 110.87Series S5 $ 23.17 73.03 128.00 291.37Series S8 $ 23.17 73.03 128.00 291.37Series T5 $ 25.63 80.78 141.59 322.31Series T8 $ 25.11 79.17 138.76 315.86
CANADIAN EQUITY FUNDS
Fidelity Canadian Focused Equity Investment Trust*
94
Fund details
Fund type Canadian equity fund
Date started Series O - May 28, 2014
Type of securities Series O units of a trust
Eligibility for registered plans
The units are not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in?
Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Canadian
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses a bottom-up fundamental investment strategy.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in all types of equity securities.
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and
95
Main risk Additional risk
mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
one issuer. It invested as much as 10.01% in securities
issued by Royal Bank of Canada. See Concentration risk in What is a mutual fund and what are the risks of investing
in a mutual fund.
As at September 30, 2017, two investors held
approximately 50.7% and 38.4%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
equity exposure and can handle the volatility of returns
generally associated with equity investments. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
CANADIAN EQUITY FUNDS
Fidelity Dividend Investment Trust*
96
Fund details Fund type Canadian equity fund
Date started Series O – January 15, 2016
Type of securities Series O units of a trust
Eligibility for registered plans The units are not qualified investments for registered plans
* Units of this fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities that pay dividends or
that are expected to pay dividends. The Fund may also
invest in other types of securities that are expected to
distribute income, such as preferred shares and fixed
income securities. It may also invest in equity securities that
are not expected to distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
The Fund may also:
Invest in companies of any size anywhere in the world.
Invest up to 49% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
97
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
one issuer. It invested as much as 10.81% in securities
issued by TD Bank Group. See Concentration risk in What
is a mutual fund and what are the risks of investing in a
mutual fund.
As at September 30, 2017, two investors held
approximately 11.5% and 10.3%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want the potential for
both income and capital gains and can handle the volatility
of returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
NORTH AMERICAN EQUITY FUNDS
Fidelity North American Equity Investment Trust*
98
Fund details Fund type North American equity fund
Date started Series O – October 28, 2015
Type of securities Series O units of a trust
Eligibility for registered plans The units are not qualified investments for registered plans
* Units of this fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
in Canada and/or the United States.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in all types of equity securities.
Invests no more than approximately 50% of its net
assets in Canadian equity securities.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest up to 20% of its net assets in equity securities of
companies located outside of Canada and/or the
United States.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio
management team may take this action to try to protect
the Fund during a market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
99
Main risk Additional risk
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 40.2% and 54.4%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
North American equity securities and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
U.S. EQUITY FUNDS
Fidelity American Disciplined Equity® Fund
100
Fund details Fund type U.S. equity fund
Date started Series A, B, F and O - July 9, 2002
Series S8 and T8 - October 31, 2002
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E1T5, E2*, E3*, E4, F*, F5, F8, O, P1*, P2*, P3*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
F, F5 and F8 0.85% 0.225%
P1 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
S&P 500 Index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Financial condition.
o Quality of management.
o Potential for earnings growth over the long-term.
May invest in securities not included in the index.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
101
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 10.6% and 12.3%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fidelity American Disciplined Equity® Fund (continued)
102
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47Series B $ 23.78 74.97 131.40 299.10Series E1 $ 23.06 72.70 127.43 290.08Series E1T5 $ 23.06 72.70 127.43 290.08Series E2 $ 21.73 68.50 120.07 273.32Series E3 $ 22.24 70.12 122.90 279.76Series E4 $ 21.53 67.86 118.94 270.74Series F $ 11.69 36.84 64.57 146.97Series F5 $ 11.89 37.48 65.70 149.55Series F8 $ 11.58 36.51 64.00 145.68Series P1 $ 11.28 35.54 62.30 141.82Series P2 $ 10.56 33.28 58.34 132.79Series P3 $ 9.64 30.37 53.24 121.19Series S5 $ 24.29 76.58 134.23 305.55Series S8 $ 23.99 75.61 132.53 301.68Series T5 $ 26.34 83.04 145.56 331.33Series T8 $ 25.93 81.75 143.29 326.18
U.S. EQUITY FUNDS
Fidelity American Disciplined Equity® Currency Neutral Fund*
103
Fund details Fund type U.S. equity fund
Date started Series O - November 16, 2009
Type of securities Series O units of a trust
Eligibility for registered plans Not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve long-term capital growth by investing primarily in
equity securities of U.S. companies.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between U.S. and Canadian
dollars.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity American Disciplined Equity®
Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
S&P 500 Index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Financial condition.
o Quality of management.
o Potential for earnings growth over the long-term.
May invest in securities not included in the index.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The underlying fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between the U.S. and Canadian dollars.
Therefore, generally, the Fund does not benefit from an
increase in the value of the U.S. dollar against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
Fidelity American Disciplined Equity® Currency Neutral Fund* (continued)
104
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, Fidelity held 100% of the units
of the Fund as seed capital. Fidelity may redeem its seed
capital in the future, but will only do so in accordance with
securities laws and in a manner that does not adversely
affect the Fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure while seeking to lower your risk of currency
fluctuations between the U.S. and Canadian dollars and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
U.S. EQUITY FUNDS
Fidelity American Equity Fund
105
Fund details Fund type U.S. equity fund
Date started Series A, B and F - October 31, 2002
Series O - October 24, 2005
Series F5, F8, S5, S8, T5 and T8 - January 15, 2014
Series P1, P1T5, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series E5 - May 13, 2016
Series E2T5 - September 16, 2016
Series P2T5 – January 6, 2017
Series P3T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5, E3*, E4, E5, F*, F5, F8, O, P1*, P1T5*, P2*, P2T5, P3*, P3T5, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 and E2T5 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
E5 1.70% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 and P2T5 0.80% 0.125%
P3 and P3T5 0.775% 0.100%
P4 0.725% 0.100%
P5 0.70% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market condition.
o Potential for long-term growth.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in securities of companies outside of the U.S.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions,
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity American Equity Fund (continued)
106
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Main risk Additional risk
Specialization
As at September 30, 2017, two investors held
approximately 10.6% and 22.3%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
107
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.73 81.11 142.16 323.60
Series B $ 23.68 74.64 130.83 297.81
Series E1 $ 22.96 72.38 126.87 288.79
Series E1T5 $ 23.06 72.70 127.43 290.08
Series E2 $ 22.04 69.47 121.77 277.19
Series E2T5 $ 22.65 71.41 125.17 284.92
Series E3 $ 21.73 68.50 120.07 273.32
Series E4 $ 19.89 62.69 109.88 250.11
Series E5 $ 20.81 65.60 114.97 261.71
Series F $ 11.79 37.16 65.13 148.26
Series F5 $ 11.58 36.51 64.00 145.68
Series F8 $ 11.89 37.48 65.70 149.55
Series P1 $ 10.97 34.58 60.60 137.95
Series P1T5 $ 10.87 34.25 60.04 136.66
Series P2 $ 10.15 31.99 56.07 127.63
Series P2T5 $ 10.15 31.99 56.07 127.63
Series P3 $ 9.33 29.40 51.54 117.32
Series P3T5 $ 9.12 28.76 50.41 114.74
Series P4 $ 9.23 29.08 50.97 116.03
Series P5 $ 8.30 26.17 45.88 104.43
Series S5 $ 23.06 72.70 127.43 290.08
Series S8 $ 23.37 73.67 129.13 293.95
Series T5 $ 25.52 80.46 141.03 321.02
Series T8 $ 25.22 79.49 139.33 317.15
U.S. EQUITY FUNDS
Fidelity U.S. Focused Stock Fund
108
Fund details Fund type U.S. equity fund
Date started Series A and B - September 19, 1990
Series F - October 10, 2000
Series O - January 2, 2001
Series S8 and T8 - October 31, 2002
Series S5 and T5 - November 6, 2006
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series E2T5 – January 26, 2017
Series P4 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4*, F*, O, P1*, P2*, P3*, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 and E2T5 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
F 0.85% 0.225%
P1 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.100%
P4 0.725% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses on a company’s fundamentals and invests in
shares of companies that trade at prices that reflect
attractive valuations based on its assessment of each
company’s potential for growth and earnings.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry conditions.
o Economic and market conditions.
o Valuation.
o Earnings estimates.
o Balance sheet strength.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest up to 10% of its net assets in non-U.S. equity
securities.
Concentrate its investments in relatively few companies
and industries.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
109
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Main risk Additional risk
Specialization
As at September 30, 2017, one investor held approximately
19.5% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fidelity U.S. Focused Stock Fund (continued)
110
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 23.99 75.61 132.53 301.68Series E1 $ 23.06 72.70 127.43 290.08Series E1T5 $ 23.47 74.00 129.70 295.23Series E2 $ 22.65 71.41 125.17 284.92Series E2T5 $ 20.19 63.66 111.58 253.98Series E3 $ 20.81 65.60 114.97 261.71Series E4 $ 19.99 63.01 110.44 251.40Series F $ 12.10 38.13 66.83 152.13Series P1 $ 11.38 35.87 62.87 143.10Series P2 $ 10.66 33.61 58.90 134.08Series P3 $ 9.94 31.34 54.94 125.06Series S5 $ 24.29 76.58 134.23 305.55Series S8 $ 24.09 75.94 133.10 302.97Series T5 $ 26.55 83.69 146.69 333.91Series T8 $ 26.24 82.72 144.99 330.04
U.S. EQUITY FUNDS
Fidelity Small Cap America Fund
111
Fund details Fund type U.S. equity fund
Date started Series A and B – April 6, 1994
Series F – October 10, 2000 Series O – September 24, 2001 Series F5, F8, S5, S8, T5 and T8 – April 17, 2013
Series P1, P2, P3, P4 and P5 – December 4, 2015
Series E1, E1T5, E2, E3, E4 and E5 – February 5, 2016
Series P1T5 – March 11, 2016
Series E2T5 – September 16, 2016
Series P2T5 – January 6, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5,E3*, E4*, E5*, F*, F5, F8, O, P1*, P1T5*, P2*, P2T5*, P3*, P4*, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 and E2T5 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
E5 1.70% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 and P2T5 0.80% 0.125%
P3 0.775% 0.100%
P4 0.725% 0.100%
P5 0.70% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. small
capitalization companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in medium and large companies.
Invest in securities of companies outside of the U.S.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
Fidelity Small Cap America Fund (continued)
112
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 23.1% and 10.5%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
small U.S. companies and can handle the volatility of
returns generally associated with equity investments in
small companies. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.83 81.43 142.73 324.89
113
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series B $ 23.68 74.64 130.83 297.81Series E1 $ 22.86 72.06 126.30 287.50Series E1T5 $ 22.76 71.74 125.74 286.21Series E2 $ 21.94 69.15 121.20 275.90Series E2T5 $ 22.45 70.77 124.04 282.34Series E3 $ 20.91 65.92 115.54 263.00Series E4 $ 20.30 63.98 112.14 255.27Series E5 $ 20.91 65.92 115.54 263.00Series F $ 11.89 37.48 65.70 149.55Series F5 $ 11.58 36.51 64.00 145.68Series F8 $ 11.89 37.48 65.70 149.55Series P1 $ 11.07 34.90 61.17 139.24Series P1T5 $ 11.17 35.22 61.74 140.53Series P2 $ 10.25 32.31 56.64 128.92Series P2T5 $ 10.56 33.28 58.34 132.79Series P3 $ 9.53 30.05 52.67 119.90Series P4 $ 9.23 29.08 50.97 116.03Series P5 $ 8.92 28.11 49.27 112.16Series S5 $ 23.06 72.70 127.43 290.08Series S8 $ 23.47 74.00 129.70 295.23Series T5 $ 25.22 79.49 139.33 317.15Series T8 $ 25.73 81.11 142.16 323.60
U.S. EQUITY FUNDS
Fidelity U.S. Dividend Fund
114
Fund details Fund type U.S. equity fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - November 7, 2012
Series P1, P1T5, P2, P3, P4 and P5 -December 4, 2015
Series E1, E1T5, E2, E2T5, E3 and E4 - February 5, 2016
Series P2T5 - September 16, 2016
Series P3T5 – January 6, 2017
Series E3T5 – April 21, 2017
Series E5 – September 22, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5*, E3*, E3T5, E4*, E5, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5*, P3*, P3T5*, P4*, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 and E2T5 1.80% 0.175%
E3 and E3T5 1.775% 0.150%
E4 1.725% 0.150%
E5 1.70% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 and P2T5 0.80% 0.125%
P3 and P3T5 0.775% 0.100%
P4 0.725% 0.100%
P5 0.70% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies
that pay dividends or that are expected to pay dividends
and in other types of securities that are expected to
distribute income. The Fund can invest in these securities
either directly or indirectly through investments in
underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in securities that are expected to distribute
income, such as REITs.
May invest, to a lesser extent, in equity securities that
are not expected to distribute income, preferred shares,
convertible securities, and fixed income securities of
any quality or term, including investment grade bonds
and higher yielding lower quality fixed income
securities.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
The Fund may also:
Invest up to 20% of its net assets in non-U.S.
securities.
115
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund and the underlying funds may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Main risk Additional risk
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure, want the potential for both income and capital
gains and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
You should not hold units of this Fund if you are an
Eligible Investor. Eligible Investors may hold units of
Fidelity U.S. Dividend Registered Fund instead. Fidelity
U.S. Dividend Registered Fund expects to be exempt
from U.S. withholding tax on U.S. source dividend and
interest income, and is therefore expected to provide
higher returns than this Fund.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fidelity U.S. Dividend Fund (continued)
116
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47Series B $ 23.88 75.29 131.97 300.39Series E1 $ 22.86 72.06 126.30 287.50Series E1T5 $ 23.27 73.35 128.57 292.66Series E2 $ 22.04 69.47 121.77 277.19Series E2T5 $ 22.55 71.09 124.60 283.63Series E3 $ 21.22 66.89 117.24 266.87Series E3T5 $ 21.94 69.15 121.20 275.90Series E4 $ 21.42 67.53 118.37 269.45Series F $ 11.99 37.81 66.27 150.84Series F5 $ 12.10 38.13 66.83 152.13Series F8 $ 12.20 38.45 67.40 153.42Series P1 $ 11.07 34.90 61.17 139.24Series P1T5 $ 11.28 35.54 62.30 141.82Series P2 $ 10.46 32.96 57.77 131.50Series P2T5 $ 10.66 33.61 58.90 134.08Series P3 $ 9.43 29.73 52.11 118.61Series P3T5 $ 9.94 31.34 54.94 125.06Series P4 $ 7.48 23.59 41.35 94.11Series P5 $ 7.48 23.59 41.35 94.11Series S5 $ 24.09 75.94 133.10 302.97Series S8 $ 23.88 75.29 131.97 300.39Series T5 $ 26.04 82.08 143.86 327.47Series T8 $ 26.24 82.72 144.99 330.04
U.S. EQUITY FUNDS
Fidelity U.S. Dividend Currency Neutral Fund
117
Fund details
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.330%
B, S5 and S8 1.85% 0.305%
E1 and E1T5 1.825% 0.255%
E2 and E2T5 1.80% 0.205%
E3 1.775% 0.180%
E4 1.725% 0.180%
E5 1.70% 0.180%
F, F5 and F8 0.85% 0.255%
P1 and P1T5 0.825% 0.205%
P2 and P2T5 0.80% 0.155%
P3 0.775% 0.130%
P4 0.725% 0.130%
P5 0.70% 0.130%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies
that pay dividends or that are expected to pay dividends
and in other types of securities that are expected to
distribute income. The Fund can invest in these securities
either directly or indirectly through investments in
underlying funds.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets and Canadian dollars. The Fund may
also hedge against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity U.S. Dividend Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in securities that are expected to distribute
income, such as REITs.
May invest, to a lesser extent, in equity securities that
are not expected to distribute income, preferred shares,
convertible securities and fixed income securities of
any quality or term, including, investment grade bonds
and higher yielding lower quality fixed income
securities.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
The Fund and the underlying fund may also:
Fund type U.S. equity fund
Date started Series A, B, F, F5, F8, S5, S8, T5 and T8 - November 7, 2012
Series P1, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series P1T5 and P2T5 - September 16, 2016
Series E2T5 – January 6, 2017
Series E4 and E5 – April 21, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Fidelity U.S. Dividend Currency Neutral Fund (continued)
118
Invest up to 20% of its net assets in non-U.S.
securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
the developed market foreign currency against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure while seeking to lower your risk of currency
fluctuations between developed market foreign currencies
and the Canadian dollar, want the potential for both income
and capital gains and can handle the volatility of returns
generally associated with equity investments. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
119
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.55 83.69 146.69 333.91Series B $ 24.40 76.91 134.80 306.84Series E1 $ 23.58 74.32 130.27 296.52Series E1T5 $ 22.14 69.80 122.34 278.47Series E2 $ 22.86 72.06 126.30 287.50Series E2T5 $ 21.53 67.86 118.94 270.74Series E3 $ 22.76 71.74 125.74 286.21Series E4 $ 21.73 68.50 120.07 273.32Series E5 $ 21.73 68.50 120.07 273.32Series F $ 12.30 38.78 67.97 154.71Series F5 $ 12.61 39.75 69.66 158.58Series F8 $ 12.61 39.75 69.66 158.58Series P1 $ 11.58 36.51 64.00 145.68Series P1T5 $ 11.89 37.48 65.70 149.55Series P2 $ 10.87 34.25 60.04 136.66Series P2T5 $ 10.87 34.25 60.04 136.66Series P3 $ 10.15 31.99 56.07 127.63Series P4 $ 7.48 23.59 41.35 94.11Series P5 $ 7.48 23.59 41.35 94.11Series S5 $ 24.50 77.23 135.36 308.13Series S8 $ 24.29 76.58 134.23 305.55Series T5 $ 26.75 84.34 147.82 336.49Series T8 $ 26.65 84.01 147.26 335.20
U.S. EQUITY FUNDS
Fidelity U.S. Dividend Investment Trust*
120
Fund details
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies
that pay dividends or that are expected to pay dividends
and in other types of securities that are expected to
distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
Invests primarily in U.S. equity securities that pay
dividends or that are expected to pay dividends.
May invest in securities that are expected to distribute
income, such as REITs.
May invest, to a lesser extent, in equity securities that
are not expected to distribute income, preferred shares,
and fixed income securities of any quality or term.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
The Fund may also:
Invest up to 20% of its net assets in non-U.S.
securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the
Fund type U.S. equity fund
Date started Series O - November 7, 2012
Type of securities Series O units of a trust
Eligibility for registered plans Not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
121
fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 31.7% and 50.7%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure, want the potential for both income and capital
gains and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
U.S. EQUITY FUNDS
Fidelity U.S. Dividend Registered Fund
122
Fund details
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.300%
B 1.85% 0.275%
E1 1.825% 0.225%
E2 1.80% 0.175%
E3 1.775% 0.150%
F 0.85% 0.225%
P1 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies
that pay dividends or that are expected to pay dividends
and in other types of securities that are expected to
distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest either directly or indirectly through
investments in underlying funds in other types of
securities that are expected to distribute income, such
as REITs.
May invest, to a lesser extent, in equity securities that
are not expected to distribute income, preferred shares,
convertible securities and fixed income securities of
any quality or term, including investment grade bonds
and higher yielding lower quality fixed income
securities.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
The Fund may also:
Invest up to 20% of its net assets in non-U.S.
securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
Fund type U.S. equity fund
Date started Series A, B and F - January 30, 2013 Series P1, P2 and P3 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Type of securities Series A*, B*, E1*, E2, E3, F*, P1*, P2* and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
123
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities underlying funds that are selected in
accordance with the Fund’s investment strategies.
The Fund and the underlying funds may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Main risk Additional risk
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment in a registered plan for the long-term, want
to gain U.S. equity exposure, want the potential for both
income and capital gains and can handle the volatility of
returns generally associated with equity investments.
The investors in the Fund are restricted to registered
retirement savings plans (RRSPs) and registered
retirement income funds (RRIFs) whose planholder has
a Canadian or U.S. resident address (including the
various types of locked-in registered plans, such as
locked-in retirement savings plans (LRSPs) and life
income funds (LIFs)), deferred profit sharing plans
(DPSPs), registered pension plans (RPPs) and certain
other entities as may be permitted by Fidelity from time
to time (each an Eligible Investor). We take all
reasonable steps to detect and reject orders from
anyone other than an Eligible Investor. If an investor is
subsequently found not to be an Eligible Investor, we
cancel or redeem that investor’s investment in the
Fund as soon as is reasonably practicable. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity U.S. Dividend Registered Fund (continued)
124
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Otherwise, distributions are reinvested in additional units of
the Fund unless you tell us in writing that you want them in
cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 23.88 75.29 131.97 300.39Series E1 $ 22.86 72.06 126.30 287.50Series E2 $ 22.04 69.47 121.77 277.19Series E3 $ 22.04 69.47 121.77 277.19Series F $ 12.10 38.13 66.83 152.13Series P1 $ 11.38 35.87 62.87 143.10Series P2 $ 10.56 33.28 58.34 132.79Series P3 $ 9.94 31.34 54.94 125.06
U.S. EQUITY FUNDS
Fidelity U.S. All Cap Fund
125
Fund details
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of U.S. companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to favour companies that show the potential for
above-average earnings or growth and industries that
are undervalued or out-of-favour.
Seeks to identify early signs of long-term changes in
the marketplace, and focuses on those companies that
may benefit from opportunities created by these
changes.
Examines technological advances, product innovation,
economic plans, demographics, social attitudes, and
other factors to seek to identify companies that are
innovating in their industry and increasing their market
share.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Earnings estimates.
o Industry position.
o Economic and market conditions.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest up to 20% of its net assets in non-U.S.
securities.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fund type U.S. equity fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - January 30, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series E4 and P1T5 – January 6, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E3, E4, F*, F5*, F8*, O, P1*, P1T5, P2*, P3*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Fidelity U.S. All Cap Fund (continued)
126
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Main risk Additional risk
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
18.8% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain U.S. equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
127
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47Series B $ 23.99 75.61 132.53 301.68Series E1 $ 22.96 72.38 126.87 288.79Series E1T5 $ 23.47 74.00 129.70 295.23Series E2 $ 22.65 71.41 125.17 284.92Series E3 $ 21.53 67.86 118.94 270.74Series E4 $ 21.01 66.24 116.11 264.29Series F $ 11.99 37.81 66.27 150.84Series F5 $ 11.99 37.81 66.27 150.84Series F8 $ 12.10 38.13 66.83 152.13Series P1 $ 11.07 34.90 61.17 139.24Series P1T5 $ 10.66 33.61 58.90 134.08Series P2 $ 10.25 32.31 56.64 128.92Series P3 $ 9.23 29.08 50.97 116.03Series S5 $ 24.09 75.94 133.10 302.97Series S8 $ 23.68 74.64 130.83 297.81Series T5 $ 26.24 82.72 144.99 330.04Series T8 $ 25.01 78.84 138.20 314.57
U.S. EQUITY FUNDS
Fidelity Event Driven Opportunities Fund
128
Fund details
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 1.825% 0.225%
E2 1.80% 0.175%
E3 1.775% 0.150%
E4 1.725% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.100%
P4 0.725% 0.100%
P5 0.70% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies that are
or that are expected to be involved in corporate actions or
events.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests primarily in securities of companies that it
believes are of good fundamental value and that are
typically involved in corporate actions or events, such
as:
o Companies involved in a corporate reorganization,
such as a spin-off or merger.
o Companies that are no longer eligible to be a
component of a market index based on the
eligibility criteria established by the index sponsor.
o Companies that are undergoing changes in
beneficial ownership.
o Companies experiencing positive fundamental
change, such as new or changed management, or
material changes in management policies or
corporate structure.
o Companies undergoing changes in corporate
strategy through bankruptcy process.
o Companies involved in changes to their capital
structure.
Invests in equity securities of companies that are
believed to be undervalued in the marketplace or not
fully recognized by the public in relation to factors such
as the company’s assets, sales, earnings, growth
potential, or cash flow, or in relation to securities of
other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Potential for long-term growth.
Fund type U.S. equity fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - December 4, 2014
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P4 – July 14, 2017
Series P1T5 and P5 – September 22, 2017
Type of securities Series A*, B*, E1*, E2, E3, E4, F*, F5*, F8*, O, P1*, P1T5, P2*, P3*, P4, P5, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
129
o Earnings estimates.
o Quality of management.
Is not constrained by any particular investment style.
May tend to buy “growth” securities or “value”
securities, or a combination of both types.
May concentrate its investments in relatively few
industries and companies.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings potential.
o Quality of management.
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
The Fund may also:
Invest in companies of any size anywhere in the world.
Invest in any kind of fixed income securities of any
quality or term.
Hold cash.
Currently, the Fund does not engage in selling securities
short.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Fidelity Event Driven Opportunities Fund (continued)
130
Main risk Additional risk
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
three different issuers. It invested as much as 10.92% in
securities issued by Universal Corp., 15.09% in securities
issued by Exterran Corp. and 11.17% in securities issued
by MSG Network Inc. See Concentration risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
As at September 30, 2017, an investor held approximately
34.6% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
companies that are typically involved in corporate actions or
events and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.24 82.72 144.99 330.04
Series B $ 23.99 75.61 132.53 301.68
Series E1 $ 23.06 72.70 127.43 290.08
Series E2 $ 22.55 71.09 124.60 283.63
Series E3 $ 22.04 69.47 121.77 277.19
Series E4 $ 21.01 66.24 116.11 264.29
Series F $ 12.20 38.45 67.40 153.42
Series F5 $ 12.20 38.45 67.40 153.42
Series F8 $ 12.10 38.13 66.83 152.13
Series P1 $ 11.28 35.54 62.30 141.82
Series P2 $ 10.66 33.61 58.90 134.08
Series P3 $ 9.94 31.34 54.94 125.06
Series S5 $ 23.47 74.00 129.70 295.23
Series S8 $ 23.99 75.61 132.53 301.68
Series T5 $ 25.01 78.84 138.20 314.57
Series T8 $ 26.24 82.72 144.99 330.04
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity AsiaStar® Fund
131
Fund details Fund type Asia Pacific equity fund
Date started Series A, B, F and O - May 4, 2006
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3, E4, F*, O, P1*, P2* and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
in the Asia Pacific region and in companies that derive a
significant portion of their revenues from that region.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Anticipates investing primarily in companies located in
the Asia Pacific region, but has the ability to invest in
companies anywhere in the world.
May choose to concentrate investments in certain
countries of the Asia Pacific region from time to time.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Value relative to market price.
o Growth and earnings potential.
The Fund may also:
Invest in companies of any size.
Have significant exposure to relatively few companies,
industries or countries, or one size of company.
Hold a higher proportion of securities that are illiquid
than other funds.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
Fidelity AsiaStar® Fund (continued)
132
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Asia Pacific region companies and companies that derive a
significant portion of their revenues from that region and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33Series B $ 24.29 76.58 134.23 305.55Series E1 $ 23.37 73.67 129.13 293.95Series E2 $ 22.24 70.12 122.90 279.76Series E3 $ 22.65 71.41 125.17 284.92Series E4 $ 21.73 68.50 120.07 273.32Series F $ 12.61 39.75 69.66 158.58Series P1 $ 11.89 37.48 65.70 149.55Series P2 $ 9.94 31.34 54.94 125.06
133
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series P3 $ 8.51 26.82 47.01 107.01
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity China Fund
134
Fund details Fund type Asian equity fund
Date started Series A, B, F and O - May 4, 2006 Series F5, F8, S5, S8, T5 and T8 - April 17, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P1T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, F5, F8, O, P1*, P1T5, P2*, P3*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F, F5 and F8 0.85% 0.250%
P1 and P1T5 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Chinese and Hong
Kong companies and in companies located in other
countries that derive a significant portion of their revenues
from these countries.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Cash flow.
o Quality of management.
The Fund may also:
Invest in companies of any size, but tends to focus on
large companies.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
135
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative
Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
As at September 30, 2017, one investor held approximately
26.7% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Chinese and Hong Kong companies and companies that
derive significant revenue from these markets and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.24 82.72 144.99 330.04Series B $ 23.99 75.61 132.53 301.68Series E1 $ 22.65 71.41 125.17 284.92Series E2 $ 22.14 69.80 122.34 278.47Series E3 $ 20.91 65.92 115.54 263.00Series E4 $ 22.24 70.12 122.90 279.76Series F $ 12.51 39.42 69.10 157.29Series F5 $ 12.51 39.42 69.10 157.29Series F8 $ 12.92 40.71 71.36 162.44Series P1 $ 11.58 36.51 64.00 145.68Series P1T5 $ 11.07 34.90 61.17 139.24Series P2 $ 11.07 34.90 61.17 139.24Series P3 $ 8.41 26.50 46.44 105.72Series S5 $ 24.70 77.87 136.50 310.71
Fidelity China Fund (continued)
136
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series S8 $ 24.60 77.55 135.93 309.42Series T5 $ 26.24 82.72 144.99 330.04Series T8 $ 26.75 84.34 147.82 336.49
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Emerging Markets Fund
137
Fund details Fund type Emerging markets equity fund
Date started Series A and B - December 4, 1994
Series F - October 10, 2000
Series O - August 16, 2006
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P3 – April 21, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4, F*, O, P1*, P2 and P3 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
It invests primarily in equity securities of companies in
emerging market countries.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
Fidelity Emerging Markets Fund (continued)
138
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
14.7% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
companies in emerging markets and can handle the
volatility of returns generally associated with equity
investments in emerging markets. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses
payable over 1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47 Series B $ 23.99 75.61 132.53 301.68 Series E1 $ 23.17 73.03 128.00 291.37 Series E2 $ 22.76 71.74 125.74 286.21 Series E3 $ 22.24 70.12 122.90 279.76 Series E4 $ 19.58 61.72 108.18 246.24 Series F $ 12.61 39.75 69.66 158.58 Series P1 $ 11.69 36.84 64.57 146.97 Series P2 $ 10.97 34.58 60.60 137.95
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Europe Fund
139
Fund details Fund type European equity fund
Date started Series A and B - June 1, 1992
Series F - October 10, 2000
Series O - January 2, 2001
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4, F*, O, P1*, P2* and P3 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies in the
United Kingdom and continental Europe, including the
European Union and the European Free Trade Association.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
Fidelity Europe Fund (continued)
140
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
21.3% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
equity securities of companies located in the United
Kingdom and continental Europe and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.47 74.00 129.70 295.23Series E2 $ 22.86 72.06 126.30 287.50Series E3 $ 20.91 65.92 115.54 263.00Series E4 $ 21.63 68.18 119.51 272.03Series F $ 12.40 39.10 68.53 156.00Series P1 $ 11.17 35.22 61.74 140.53Series P2 $ 10.97 34.58 60.60 137.95
141
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series P3 $ 10.25 32.31 56.64 128.92
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Far East Fund
142
Fund details Fund type Far East equity fund
Date started Series A and B - September 30, 1991 Series F - October 10, 2000 Series O - January 31, 2001 Series F5, F8, S5, S8, T5 and T8 - April 17, 2013
Series P1, P2, P3 and P4 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P1T5 – January 6, 2017
Series P2T5 and P3T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4, F*, F5, F8, O, P1*, P1T5, P2*, P2T5, P3*, P3T5, P4*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F, F5 and F8 0.85% 0.250%
P1 and P1T5 0.825% 0.200%
P2 and P2T5 0.80% 0.150%
P3 and P3T5 0.775% 0.125%
P4 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
or operating in countries in Southeast Asia. These countries
include Australia, Hong Kong, India, Indonesia, Malaysia,
New Zealand, the People’s Republic of China, the
Philippines, Singapore, South Korea, Taiwan and Thailand.
The Fund doesn’t invest in Japan.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
143
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
four different issuers. It invested as much as 10.55% in
securities issued by Naspers Ltd, 11.74% in securities
issued by Taiwan Semiconductor MFG Co. Ltd., 10.13% in
securities issued by Samsung Electronics Co. Ltd. and
10.29% in securities issued by Tencent Holdings Ltd. See
Concentration risk in What is a mutual fund and what are
the risks of investing in a mutual fund.
As at September 30, 2017, one investor held approximately
12.7% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Southeast Asian companies and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a
short-term investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fidelity Far East Fund (continued)
144
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 23.99 75.61 132.53 301.68Series E1 $ 23.17 73.03 128.00 291.37Series E2 $ 22.96 72.38 126.87 288.79Series E3 $ 21.42 67.53 118.37 269.45Series E4 $ 21.53 67.86 118.94 270.74Series F $ 12.51 39.42 69.10 157.29Series F5 $ 12.51 39.42 69.10 157.29Series F8 $ 12.61 39.75 69.66 158.58Series P1 $ 11.79 37.16 65.13 148.26Series P1T5 $ 11.79 37.16 65.13 148.26Series P2 $ 11.07 34.90 61.17 139.24Series P2T5 $ 10.15 31.99 56.07 127.63Series P3 $ 10.46 32.96 57.77 131.50Series P3T5 $ 8.20 25.85 45.31 103.14Series P4 $ 9.84 31.02 54.37 123.77Series S5 $ 24.81 78.20 137.06 311.99Series S8 $ 24.70 77.87 136.50 310.71Series T5 $ 25.42 80.14 140.46 319.73Series T8 $ 26.65 84.01 147.26 335.20
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Fund
145
Fund details Fund type Global equity fund
Date started Series A and B - November 30, 1987
Series F - October 10, 2000
Series O - January 2, 2001
Series S8 and T8 - October 31, 2002
Series S5 and T5 - November 6, 2006
Series P1 and P2 - December 4, 2015
Series E1, E1T5, E2, E3, E4 and E5 - February 5, 2016
Series F5 and F8 - September 16, 2016
Series E2T5 – January 6, 2017
Series P3 – January 26, 2017
Series P4 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4, E5, F*, F5, F8, O, P1*, P2*, P3*, P4*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 and E2T5 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
E5 1.70% 0.175%
F, F5 and F8 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Typically diversifies the investments across different
countries and regions.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity Global Fund (continued)
146
The portfolio management team can use currency forward
contracts in order to manage the Fund’s overall foreign
currency exposure for hedging purposes, including a
currency cross-hedge.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Main risk Additional risk
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
147
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 24.09 75.94 133.10 302.97Series E1 $ 23.47 74.00 129.70 295.23Series E1T5 $ 22.14 69.80 122.34 278.47Series E2 $ 22.35 70.44 123.47 281.05Series E2T5 $ 21.63 68.18 119.51 272.03Series E3 $ 20.71 65.27 114.41 260.43Series E4 $ 21.94 69.15 121.20 275.90Series E5 $ 19.99 63.01 110.44 251.40Series F $ 12.30 38.78 67.97 154.71Series F5 $ 12.51 39.42 69.10 157.29Series F8 $ 13.33 42.01 73.63 167.60Series P1 $ 11.28 35.54 62.30 141.82Series P2 $ 10.87 34.25 60.04 136.66Series P3 $ 10.35 32.64 57.20 130.21Series S5 $ 24.09 75.94 133.10 302.97Series S8 $ 24.50 77.23 135.36 308.13Series T5 $ 26.04 82.08 143.86 327.47Series T8 $ 26.24 82.72 144.99 330.04
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Disciplined Equity® Fund
148
Fund details Fund type Global equity fund
Date started Series A, B, F and O - July 9, 2002
Series S8 and T8 - October 31, 2002
Series S5 and T5 - November 6, 2006
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E3, E4 and E5 - February 5, 2016
Series P4 - March 11, 2016
Series F5 and F8 - September 16, 2016
Series E2T5 – January 6, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4*, E5*, F*, F5, F8, O, P1*, P2*, P3*, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 and E2T5 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
E5 1.70% 0.175%
F, F5 and F8 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
MSCI All Country World Index.
Aims to invest in the following regions represented in
the index, although not necessarily in the same
proportions as those regions are represented in the
index:
o United States.
o United Kingdom.
o Europe, excluding the United Kingdom.
o Japan.
o Asia Pacific, excluding Japan.
o Emerging markets.
o Canada.
May invest in securities not included in the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Quality of management.
o Financial condition.
o Potential for earnings growth over the long-term.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The Fund may also:
Invest in companies of any size.
149
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Main risk Additional risk
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
As at September 30, 2017, two investors held
approximately 36.1% and 21.5%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
Fidelity Global Disciplined Equity® Fund (continued)
150
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33Series B $ 24.29 76.58 134.23 305.55Series E1 $ 23.37 73.67 129.13 293.95Series E1T5 $ 22.14 69.80 122.34 278.47Series E2 $ 22.24 70.12 122.90 279.76Series E2T5 $ 21.63 68.18 119.51 272.03Series E3 $ 20.71 65.27 114.41 260.43Series E4 $ 20.19 63.66 111.58 253.98Series E5 $ 19.78 62.36 109.31 248.82Series F $ 12.51 39.42 69.10 157.29Series F5 $ 12.61 39.75 69.66 158.58Series F8 $ 13.02 41.04 71.93 163.73Series P1 $ 11.69 36.84 64.57 146.97Series P2 $ 10.25 32.31 56.64 128.92Series P3 $ 8.71 27.47 48.14 109.58Series P4 $ 9.53 30.05 52.67 119.90Series S5 $ 24.40 76.91 134.80 306.84Series S8 $ 24.09 75.94 133.10 302.97Series T5 $ 27.06 85.31 149.52 340.36Series T8 $ 26.14 82.40 144.43 328.75
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Disciplined Equity® Currency Neutral Fund*
151
Fund details Fund type Global equity fund
Date started Series O - November 16, 2009
Type of securities Series O units of a trust
Eligibility for registered plans Not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve long-term capital growth by investing primarily in
equity securities of companies anywhere in the world.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets (such as the U.S. dollar, the Euro or the
Yen) and the Canadian dollar. The Fund may also hedge
against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Global Disciplined Equity® Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
MSCI All Country World Index.
Aims to invest in the following regions represented in
the index, although not necessarily in the same
proportions as those regions are represented in the
index:
o United States.
o United Kingdom.
o Europe, excluding the United Kingdom.
o Japan.
o Asia Pacific, excluding Japan.
o Emerging markets.
o Canada.
May invest in securities not included in the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Quality of management.
o Financial condition.
o Potential for earnings growth over the long-term.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The underlying fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity Global Disciplined Equity® Currency Neutral Fund* (continued)
152
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
As at September 30, 2017, the underlying fund invested
approximately 5.35% of its net assets in securities issued in
currencies that could not practically or economically be
hedged. This amount will vary over time. Because an
efficient market for hedging certain currencies may not
exist, the Fund may not be able to hedge all its foreign
currency exposure. Therefore, the Fund is exposed to
changes in the value of certain currencies against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Main risk Additional risk
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
98.1% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure while seeking to lower your risk of currency
fluctuations between developed market foreign currencies
and the Canadian dollar and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a
short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
153
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Dividend Fund
154
Fund details Fund type Global dividend
Date started Series A, B, F, O, S5, S8, T5 and T8 - April 16, 2007 Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E3, E4 and E5 - February 5, 2016
Series E2T5 – January 6, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3, E4, E5, F*, F5, F8, O, P1*, P1T5, P2*, P3*, P4*, P5*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 and E2T5 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
E5 1.70% 0.175%
F, F5 and F8 0.85% 0.240%
P1 and P1T5 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
It invests primarily in equity securities of companies
anywhere in the world that pay, or may be expected to pay,
dividends, as well as in other types of securities that may
be expected to distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 95%
equity securities and other securities that are expected
to distribute income, and 5% fixed income securities.
Depending on market conditions, may vary the asset
mix from the neutral mix if it believes this produces the
best overall return.
Normally diversifies the investments across different
countries and regions.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Market and economic conditions.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling fixed income securities,
analyzes factors, such as:
o Features of the security.
o Current price compared to the estimated long-term
value.
o Credit quality of the issuer.
o Short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
155
Invest in companies of any size anywhere in the world.
Concentrate its investments in relatively few countries,
regions, industries and companies.
Invest in fixed income securities of any quality or term.
Hold cash.
As at September 30, 2017, the Fund invested 100% of its
assets in underlying funds.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest a significant portion of its assets in securities of
underlying funds that are selected in accordance with
the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
29.5% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure, want the potential for both income and capital
gains and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity Global Dividend Fund (continued)
156
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.27 73.35 128.57 292.66Series E1T5 $ 23.06 72.70 127.43 290.08Series E2 $ 22.76 71.74 125.74 286.21Series E2T5 $ 21.63 68.18 119.51 272.03Series E3 $ 22.35 70.44 123.47 281.05Series E4 $ 20.81 65.60 114.97 261.71Series E5 $ 21.22 66.89 117.24 266.87Series F $ 12.30 38.78 67.97 154.71Series F5 $ 12.30 38.78 67.97 154.71Series F8 $ 12.61 39.75 69.66 158.58Series P1 $ 11.48 36.19 63.43 144.39Series P1T5 $ 11.28 35.54 62.30 141.82Series P2 $ 10.76 33.93 59.47 135.37Series P3 $ 9.64 30.37 53.24 121.19Series P4 $ 9.53 30.05 52.67 119.90Series P5 $ 9.33 29.40 51.54 117.32Series S5 $ 24.19 76.26 133.67 304.26Series S8 $ 23.88 75.29 131.97 300.39Series T5 $ 26.24 82.72 144.99 330.04Series T8 $ 25.83 81.43 142.73 324.89
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Large Cap Fund
157
Fund details Fund type Global equity fund
Date started Series A, B, F, O, S5, S8, T5 and T8 - April 4, 2011
Series P1, P2, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series E2T5, F5 and F8 - September 16, 2016
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3, E4, F*, F5, F8, O, P1*, P2, P3, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 and E2T5 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F, F5 and F8 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of large capitalization
companies located anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
MSCI All Country World Index.
Aims to maintain the weighted average market
capitalization of its investments at an amount that is
greater than or equal to 50% of the weighted average
market capitalization of the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Financial condition.
o Industry position.
o Economic and market conditions.
May invest in securities not included in the index.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The Fund may also:
Invest in small and medium companies anywhere in the
world.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fidelity Global Large Cap Fund (continued)
158
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Main risk Additional risk
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 26.8% and 12.1%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
159
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.55 83.69 146.69 333.91Series B $ 24.09 75.94 133.10 302.97Series E1 $ 23.17 73.03 128.00 291.37Series E1T5 $ 23.06 72.70 127.43 290.08Series E2 $ 22.45 70.77 124.04 282.34Series E2T5 $ 21.53 67.86 118.94 270.74Series E3 $ 22.65 71.41 125.17 284.92Series E4 $ 19.78 62.36 109.31 248.82Series F $ 12.51 39.42 69.10 157.29Series F5 $ 13.02 41.04 71.93 163.73Series F8 $ 13.02 41.04 71.93 163.73Series P1 $ 11.79 37.16 65.13 148.26Series P2 $ 10.87 34.25 60.04 136.66Series P3 $ 8.71 27.47 48.14 109.58Series P4 $ 9.64 30.37 53.24 121.19Series S5 $ 24.60 77.55 135.93 309.42Series S8 $ 24.40 76.91 134.80 306.84Series T5 $ 26.86 84.66 148.39 337.78Series T8 $ 26.55 83.69 146.69 333.91
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Concentrated Equity Fund
160
Fund details Fund type Global equity fund
Date started Series A, B, F and O - January 30, 2002
Series F5, F8, S5, S8, T5 and T8 - January 15, 2014
Series P1, P2 and P3 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series E4 - September 16, 2016
Series P1T5 – January 6, 2017
Series P4 – April 21, 2017
Series P2T5 – July 14, 2017
Series E1T5 and E2T5 – September 22, 2017
Type of securities Series A*, B*, E1*, E1T5, E2, E2T5, E3, E4, F*, F5, F8, O, P1*, P1T5, P2*, P2T5, P3*, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 and E2T5 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F, F5 and F8 0.85% 0.240%
P1 and P1T5 0.825% 0.190%
P2 and P2T5 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to favour attractively priced companies that show
the potential for above-average long-term compounding
of total shareholder returns and better than average
quality characteristics.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
161
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company
Main risk Additional risk
Specialization
As at September 30, 2017, one investor held approximately
35.5% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fidelity Global Concentrated Equity Fund (continued)
162
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.65 84.01 147.26 335.20 Series B $ 24.60 77.55 135.93 309.42 Series E1 $ 23.68 74.64 130.83 297.81 Series E2 $ 22.65 71.41 125.17 284.92 Series E3 $ 22.55 71.09 124.60 283.63 Series E4 $ 19.89 62.69 109.88 250.11 Series F $ 12.71 40.07 70.23 159.87 Series F5 $ 12.81 40.39 70.80 161.15 Series F8 $ 12.71 40.07 70.23 159.87 Series P1 $ 11.69 36.84 64.57 146.97 Series P1T5 $ 11.58 36.51 64.00 145.68 Series P2 $ 11.07 34.90 61.17 139.24 Series P3 $ 10.46 32.96 57.77 131.50 Series S5 $ 25.11 79.17 138.76 315.86 Series S8 $ 24.81 78.20 137.06 311.99 Series T5 $ 27.16 85.63 150.09 341.65 Series T8 $ 26.86 84.66 148.39 337.78
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Small Cap Fund
163
Fund details Fund type Global equity fund
Date started Series A, B, F and O - April 4, 2011
Series P1, P2 and P3 - December 4, 2015
Series E1 and E2 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, F*, O, P1*, P2* and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
F 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of small capitalization
companies located anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Considers small companies to be those similar in size
to the companies in the MSCI All Country World Small
Cap Index.
Generally diversifies the investments across different
countries and regions.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in medium and large companies anywhere in the
world.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
Fidelity Global Small Cap Fund (continued)
164
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, an investor held approximately
24.8% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
global small capitalization companies and can handle the
volatility of returns generally associated with equity invest-
ments in small companies. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.24 82.72 144.99 330.04Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.68 74.64 130.83 297.81Series E2 $ 22.04 69.47 121.77 277.19Series F $ 12.61 39.75 69.66 158.58Series P1 $ 11.58 36.51 64.00 145.68Series P2 $ 10.87 34.25 60.04 136.66Series P3 $ 8.82 27.79 48.71 110.87
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity International Disciplined Equity® Fund
165
Fund details Fund type International equity fund
Date started Series A, B, F, O, S8 and T8 - May 4, 2006
Series S5 and T5 - November 6, 2006
Series P1 and P2 - December 4, 2015
Series E1 and E2 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, F*, O, P1*, P2*, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
F 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
outside of the United States.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
MSCI All Country World ex-U.S. Index.
Aims to invest in the following regions represented in
the index, although not necessarily in the same
proportions as those regions are represented in the
index:
o United Kingdom.
o Europe, excluding the United Kingdom.
o Japan
o Asia Pacific, excluding Japan.
o Emerging markets.
May invest in securities not included in the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Cash flow.
o Quality of management.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
Fidelity International Disciplined Equity® Fund (continued)
166
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Main risk Additional risk
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, four investors held
approximately 16.5%, 18.9%, 15.0% and 12.8%,
respectively, of the units of the Fund. See Large
transaction risk in What is a mutual fund and what are
the risks of investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain foreign
equity exposure outside the U.S. and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
167
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.55 83.69 146.69 333.91Series B $ 24.29 76.58 134.23 305.55Series E1 $ 23.47 74.00 129.70 295.23Series E2 $ 22.86 72.06 126.30 287.50Series F $ 12.40 39.10 68.53 156.00Series P1 $ 11.69 36.84 64.57 146.97Series P2 $ 10.76 33.93 59.47 135.37Series S5 $ 24.60 77.55 135.93 309.42Series S8 $ 24.29 76.58 134.23 305.55Series T5 $ 26.14 82.40 144.43 328.75Series T8 $ 26.34 83.04 145.56 331.33
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity International Disciplined Equity® Currency Neutral Fund*
168
Fund details Fund type International equity fund
Date started Series O - November 16, 2009
Type of securities Series O units of a trust
Eligibility for registered plans Not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve long-term capital growth by investing primarily in
equity securities of companies located outside of the United
States.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets (such as the Euro or the Yen) and the
Canadian dollar. The Fund may also hedge against other
foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity International Disciplined Equity®
Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Aims to invest in sectors in approximately the same
proportions as those sectors are represented in the
MSCI All Country World ex-U.S. Index.
Aims to invest in the following regions represented in
the index, although not necessarily in the same
proportions as those regions are represented in the
index:
o United Kingdom.
o Europe, excluding the United Kingdom.
o Japan
o Asia Pacific, excluding Japan.
o Emerging markets.
May invest in securities not included in the index.
When buying and selling equity securities for each
sector, may consider factors about a company,
including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Cash flow.
o Quality of management.
Regularly reviews the allocations among sectors based
on the sector allocations in the index and rebalance the
allocations, when necessary.
Decides which sector an investment belongs to if the
investment is not classified under the Global Industry
Classification Standard.
The underlying fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
169
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
As at September 30, 2017, the underlying fund invested
approximately 10.83% of its net assets in securities issued
in currencies that could not practically or economically be
hedged. This amount will vary over time. Because an
efficient market for hedging certain currencies may not
exist, the Fund may not be able to hedge all its foreign
currency exposure. Therefore, the Fund is exposed to
changes in the value of certain currencies against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Main risk Additional risk
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, Fidelity held 100.0% of the units
of the Fund as seed capital. Fidelity may redeem its seed
capital in the future, but will only do so in accordance with
securities laws and in a manner that does not adversely
affect the Fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain foreign
equity exposure outside the U.S. while seeking to lower
your risk of currency fluctuations between developed
market foreign currencies and the Canadian dollar and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity International Disciplined Equity® Currency Neutral Fund (continued)
170
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity International Concentrated Equity Fund (formerly, Fidelity International Value Fund)
171
Fund details Fund type International equity fund
Date started Series A, B, F and O - May 4, 2006
Series P1 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P2 and P3 – January 6, 2017
Series E4 – April 21, 2017
Series E5, P4 and P5 – September 22, 2017
Type of securities Series A*, B*, E1*, E2, E3, E4, E5, F*, O and P1*, P2*, P3*, P4* and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
E5 1.70% 0.175%
F 0.85% 0.240%
P1 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
outside of the United States.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Aims to favour attractively priced companies that
show the potential for above-average long-term
compounding of total shareholder returns and better
than average quality characteristics.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or
term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
Fidelity International Concentrated Equity Fund (formerly, Fidelity International Value Fund) (continued)
172
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain foreign
equity exposure outside the U.S. and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.45 83.37 146.13 332.62Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.27 73.35 128.57 292.66Series E2 $ 23.37 73.67 129.13 293.95Series E3 $ 22.35 70.44 123.47 281.05Series F $ 12.61 39.75 69.66 158.58Series P1 $ 11.58 36.51 64.00 145.68Series P2 $ 10.35 32.64 57.20 130.21Series P3 $ 8.10 25.53 44.74 101.85
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Japan Fund
173
Fund details Fund type Japanese equity fund
Date started Series A and B - July 5, 1993
Series F - October 10, 2000
Series O - January 31, 2001
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E2, E3, E4, F*, O, P1* and P2* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of Japanese
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
Fidelity Japan Fund (continued)
174
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling Small company
Specialization
As at September 30, 2017, one investor held approximately
61.9% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Japanese companies and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses
payable over
1 year 3 years 5 years 10 years
Series A $ 26.24 82.72 144.99 330.04 Series B $ 24.29 76.58 134.23 305.55 Series E1 $ 23.58 74.32 130.27 296.52 Series E2 $ 22.55 71.09 124.60 283.63 Series E3 $ 20.71 65.27 114.41 260.43 Series E4 $ 20.40 64.30 112.71 256.56 Series F $ 12.61 39.75 69.66 158.58 Series P1 $ 11.89 37.48 65.70 149.55 Series P2 $ 9.64 30.37 53.24 121.19
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Frontier Emerging Markets Fund (formerly, Fidelity Latin America Fund)
175
Fund details Fund type Frontier markets equity fund
Date started Series A and B - January 13, 1994
Series F - October 10, 2000
Series O - April 4, 2011
Series P1 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P2 – January 6, 2017
Series P3 – April 21, 2017
Series P4 – May 10, 2017
Type of securities Series A*, B*, E1*, E2, E3, E4, F*, O, P1*, P2*, P3* and P4* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
It invests primarily in equity securities of companies in
frontier market and emerging market countries.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in companies that are in developed market
countries.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
Fidelity Frontier Emerging Markets Fund (formerly, Fidelity Latin America Fund) (continued)
176
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodities
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
12.8% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
frontier market and emerging market companies and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.45 83.37 146.13 332.62Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.27 73.35 128.57 292.66Series E2 $ 23.06 72.70 127.43 290.08Series E3 $ 21.32 67.21 117.81 268.16Series E4 $ 19.78 62.36 109.31 248.82
177
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series F $ 12.61 39.75 69.66 158.58Series P1 $ 11.89 37.48 65.70 149.55Series P2 $ 11.07 34.90 61.17 139.24
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity NorthStar Fund
178
Fund details Fund type Global equity fund
Date started Series A, B, F and O - October 31, 2002
Series S8 and T8 - November 8, 2004
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 and E5 - February 5, 2016
Series E3T5 and P2T5 - September 16, 2016
Series E4T5, P3T5 and P4T5 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E3T5, E4*, E4T5, E5, F*, F5, F8, O, P1*, P1T5*, P2T5*, P2*, P3*, P3T5, P4*, P4T5, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.275%
E2 and E2T5 1.80% 0.225%
E3 and E3T5 1.775% 0.200%
E4 and E4T5 1.725% 0.200%
E5 1.70% 0.200%
F, F5 and F8 0.85% 0.224%
P1 and P1T5 0.825% 0.199%
P2 and P2T5 0.80% 0.149%
P3 and P3T5 0.775% 0.124%
P4 and P4T5 0.725% 0.124%
P5 0.70% 0.124%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in shares of companies that trade at prices that
reflect attractive valuations based on its assessment of
each company’s potential for growth.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Value relative to market price.
o Growth and earnings potential.
Considers investing in companies that are in special
situations, such as those experiencing:
o Restructurings.
o Regulatory changes.
o Financial difficulty.
o Management changes.
The Fund may also:
Invest in companies of any size anywhere in the world.
Have significant exposure to relatively few companies,
industries or countries, or to one size of company.
Hold a higher proportion of securities that are more
illiquid than other funds.
Invest in fixed income securities of any quality or term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
179
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
As part of its investment strategies and depending on the
portfolio management team’s view of market conditions, the
Fund may invest all or a portion of its assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to try to
protect the Fund during a market downturn, or for other
reasons. These investments may be held for an extended
period of time. If the Fund holds a large portion of its assets
in cash, it may not participate in any gains in the equity
market to the extent it otherwise might.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 15.7% and 21.1%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
Fidelity NorthStar Fund (continued)
180
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33Series B $ 23.99 75.61 132.53 301.68Series E1 $ 23.47 74.00 129.70 295.23Series E1T5 $ 23.68 74.64 130.83 297.81Series E2 $ 22.55 71.09 124.60 283.63Series E2T5 $ 22.35 70.44 123.47 281.05Series E3 $ 22.45 70.77 124.04 282.34Series E3T5 $ 21.32 67.21 117.81 268.16Series E4 $ 21.42 67.53 118.37 269.45Series E5 $ 20.19 63.66 111.58 253.98Series F $ 11.99 37.81 66.27 150.84Series F5 $ 11.89 37.48 65.70 149.55Series F8 $ 12.10 38.13 66.83 152.13Series P1 $ 11.48 36.19 63.43 144.39Series P1T5 $ 11.28 35.54 62.30 141.82Series P2 $ 10.66 33.61 58.90 134.08Series P2T5 $ 10.76 33.93 59.47 135.37Series P3 $ 9.84 31.02 54.37 123.77Series P4 $ 9.33 29.40 51.54 117.32Series P5 $ 9.12 28.76 50.41 114.74Series S5 $ 23.99 75.61 132.53 301.68
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series S8 $ 23.99 75.61 132.53 301.68Series T5 $ 26.14 82.40 144.43 328.75Series T8 $ 26.04 82.08 143.86 327.47
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity NorthStar Currency Neutral Fund*
181
Fund details Fund type Global equity fund
Date started Series O – April 28, 2017
Type of securities Series O units of a trust
Eligibility for registered plans These units are not qualified for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund invests
primarily in equity securities of companies anywhere in the
world.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between developed market foreign
currencies and the Canadian dollar. The Fund may also
hedge against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity NorthStar® Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Invests in shares of companies that trade at prices that
reflect attractive valuations based on its assessment of
each company’s potential for growth.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Value relative to market price.
o Growth and earnings potential.
Considers investing in companies that are in special
situations, such as those experiencing:
o Restructurings.
o Regulatory changes.
o Financial difficulty.
o Management changes.
The underlying fund may also:
Invest in companies of any size anywhere in the world.
Have significant exposure to relatively few companies,
industries or countries, or to one size of company.
Hold a higher proportion of securities that are more
illiquid than other funds.
Invest in fixed income securities of any quality or term.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
Fidelity NorthStar Currency Neutral Fund (continued)
182
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
developed market foreign currencies against the Canadian
dollar.
As part of its investment strategies and depending on the
portfolio management team’s view of market conditions, the
Fund or the underlying fund may invest all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to seek protection during a
market downturn, or for other reasons. These investments
may be held for an extended period of time. If the Fund or
the underlying fund holds a large portion of its assets in
cash, it may not participate in any gains in the equity market
to the extent it otherwise might.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Main risk Additional risk
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
100.0% of the units of the Fund. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure, while seeking to lower your risk of currency
fluctuations between developed market foreign currencies
and the Canadian dollar, and can handle the volatility of
returns generally associated with equity investments. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund distributes any net income and capital gains in
December of each year, and may pay distributions at other
times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity International Growth Fund
183
Fund details Fund type International equity fund
Date started Series A and B - May 28, 1999
Series F - October 10, 2000
Series O - January 31, 2001
Series F5, F8, S5, S8, T5 and T8 - January 15, 2014
Series P1, P2 and P3 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P1T5 – April 21, 2017
Series P4 and P5 – September 22, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, F*, F5, F8, O, P1*, P1T5, P2, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
F, F5 and F8 0.85% 0.240%
P1 and P1T5 0.825% 0.190%
P2 0.80% 0.140%
P3 0.775% 0.115%
P4 0.725% 0.115%
P5 0.70% 0.115%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies located
or operating in Europe, Australasia and the Far East.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests primarily in non-Canadian/non-U.S. securities,
including securities of issuers located in emerging
markets.
Favours companies that show the potential for above-
average earnings or growth.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
Fidelity International Growth Fund (continued)
184
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling Small company
Specialization
As at September 30, 2017, one investor held approximately
30.0% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain foreign
equity exposure outside the U.S. and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
185
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.45 83.37 146.13 332.62 Series B $ 24.29 76.58 134.23 305.55 Series E1 $ 23.58 74.32 130.27 296.52 Series E2 $ 22.76 71.74 125.74 286.21 Series E3 $ 20.50 64.63 113.28 257.85 Series F $ 12.51 39.42 69.10 157.29 Series F5 $ 12.71 40.07 70.23 159.87 Series F8 $ 13.33 42.01 73.63 167.60 Series P1 $ 11.69 36.84 64.57 146.97 Series P2 $ 11.07 34.90 61.17 139.24 Series P3 $ 8.71 27.47 48.14 109.58 Series S5 $ 24.70 77.87 136.50 310.71 Series S8 $ 24.81 78.20 137.06 311.99 Series T5 $ 27.16 85.63 150.09 341.65 Series T8 $ 27.06 85.31 149.52 340.36
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Dividend Investment Trust*
186
Fund details Fund type Global dividend fund
Date started Series O - February 28, 2013
Type of securities Series O units of a trust
Eligibility for registered plans Not qualified investments for registered plans
*Units of the Fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
It invests primarily in equity securities of companies
anywhere in the world that pay, or may be expected to pay,
dividends, as well as in other types of securities that may
be expected to distribute income.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests primarily in equity securities of companies that
pay, or may be expected to pay, dividends.
Invests in other types of securities that are expected to
distribute income and, to a lesser extent, in equity
securities that are not expected to distribute income.
Normally diversifies the investments across different
countries and regions.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Market and economic conditions.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in fixed income securities of any quality or
term.
When buying and selling fixed income securities,
analyzes others factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest in companies of any size anywhere in the world.
Concentrate its investments in relatively few countries,
regions, industries and companies.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
187
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 57.0% and 20.6%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure, want the potential for both income and capital
gains and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
GLOBAL AND INTERNATIONAL EQUITY FUNDS
Fidelity Global Intrinsic Value Investment Trust*
188
Fund details Fund type Global equity fund
Date started Series O – May 6, 2015
Type of securities Series O units of a trust
Eligibility for registered plans The units are not qualified investments for registered plans.
*Units of this fund are only available for purchase by the Fidelity Funds and other funds and accounts managed or advised by Fidelity, and are not available for public purchase.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses a bottom-up fundamental investment strategy.
Invests in companies believed to have above-average
growth potential.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Strategy.
o Earnings outlook.
The Fund may also:
Invest in companies of any size anywhere in the world,
with a general focus on small and medium companies.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
189
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
69.1% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain global equity
exposure and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fund expenses indirectly borne by investors The Fund is only available for purchase by the Fidelity
Funds and other funds and accounts managed or advised
by Fidelity, and does not pay management fees and
advisory fees.
GLOBAL SECTOR FUNDS
Fidelity Global Consumer Industries Fund
190
Fund details Fund type International sector equity fund
Date started Series A and B - June 5, 1997
Series F - October 10, 2000
Series O - September 24, 2001
Series P1, P2, P3, P4 and P5 - December 4, 2015
Series E1, E2, E3, E4 and E5 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4, E5, F*, O, P1*, P2, P3*, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
E5 1.70% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
P5 0.70% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that manufacture and sell consumer
goods.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies in the consumer goods industry,
including appliances, cars, clothing, cosmetics,
entertainment, food and beverages, homes, household
products, leisure, media, restaurants, and travel.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
191
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
15.9% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
consumer goods companies anywhere in the world and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.55 83.69 146.69 333.91Series B $ 24.40 76.91 134.80 306.84Series E1 $ 23.37 73.67 129.13 293.95Series E2 $ 22.76 71.74 125.74 286.21
Fidelity Global Consumer Industries Fund (continued)
192
Series E3 $ 20.50 64.63 113.28 257.85Series E4 $ 20.50 64.63 113.28 257.85Series E5 $ 20.50 64.63 113.28 257.85Series F $ 12.61 39.75 69.66 158.58Series P1 $ 11.79 37.16 65.13 148.26Series P2 $ 10.97 34.58 60.60 137.95Series P3 $ 8.41 26.50 46.44 105.72Series P4 $ 8.41 26.50 46.44 105.72Series P5 $ 8.41 26.50 46.44 105.72
GLOBAL SECTOR FUNDS
Fidelity Global Financial Services Fund
193
Fund details Fund type International sector equity fund
Date started Series A and B - June 5, 1997
Series F - October 10, 2000
Series O - January 31, 2001
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series E4 – January 6, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O,P1* and P2 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that provide financial services.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies that provide financial services,
including, banking, brokerage, investment
management, investment banking, life insurance,
personal loans, property and casualty insurance, and
savings and loans services.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
Fidelity Global Financial Services Fund (continued)
194
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling Small company
Specialization
As at September 30, 2017, one investor held approximately
16.5% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
financial services companies anywhere in the world and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.45 83.37 146.13 332.62Series B $ 24.40 76.91 134.80 306.84Series E1 $ 23.68 74.64 130.83 297.81Series E2 $ 22.96 72.38 126.87 288.79Series E3 $ 22.35 70.44 123.47 281.05Series E4 $ 21.83 68.83 120.64 274.61Series F $ 12.71 40.07 70.23 159.87Series P1 $ 11.48 36.19 63.43 144.39Series P2 $ 8.61 27.14 47.58 108.30
GLOBAL SECTOR FUNDS
Fidelity Global Health Care Fund
195
Fund details Fund type International sector equity fund
Date started Series A and B - June 5, 1997
Series F - October 10, 2000
Series O - January 31, 2001
Series P1, P2, P3 and P4 – December 4, 2015
Series E1, E2, E3 and E4 – February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O,P1*, P2*, P3* and P4* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that design, make or sell products or
services related to health care and medicine.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies in the health care industry,
including biotechnology firms, and health management
organizations and companies involved in hospital
management, medical products, and pharmaceuticals.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
Fidelity Global Health Care Fund (continued)
196
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling Small company
Specialization
As at September 30, 2017, one investor held approximately
15.6% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
health care companies anywhere in the world and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.14 82.40 144.43 328.75Series B $ 24.19 76.26 133.67 304.26Series E1 $ 23.47 74.00 129.70 295.23Series E2 $ 22.76 71.74 125.74 286.21Series E3 $ 22.24 70.12 122.90 279.76Series E4 $ 21.63 68.18 119.51 272.03Series F $ 12.51 39.42 69.10 157.29
197
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series P1 $ 11.48 36.19 63.43 144.39Series P2 $ 10.97 34.58 60.60 137.95Series P3 $ 9.94 31.34 54.94 125.06Series P4 $ 8.92 28.11 49.27 112.16
GLOBAL SECTOR FUNDS
Fidelity Global Natural Resources Fund
198
Fund details Fund type International sector equity fund
Date started Series A and B - June 5, 1997
Series F - October 10, 2000
Series O - September 24, 2001
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P3, P4 and P5 - May 13, 2016
Type of securities Series A*, B*, E1*, E2*, E3, F*, O, P1*, P2*, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
P5 0.70% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that own or develop natural
resources or supply goods and services to those
companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies in the natural resources
industries, including agriculture, energy, metals, natural
gas, oil, pipelines, paper and forest products,
chemicals, and precious metals.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
May shift its emphasis from one natural resource
industry to another.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
199
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Main risk Additional risk
Small company
Specialization
As at September 30, 2017, two investors held
approximately 11.2% and 27.7%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
natural resources companies anywhere in the world and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fidelity Global Natural Resources Fund (continued)
200
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33Series B $ 24.09 75.94 133.10 302.97Series E1 $ 23.06 72.70 127.43 290.08Series E2 $ 22.45 70.77 124.04 282.34Series E3 $ 22.35 70.44 123.47 281.05Series F $ 12.51 39.42 69.10 157.29Series P1 $ 11.69 36.84 64.57 146.97Series P2 $ 11.17 35.22 61.74 140.53Series P3 $ 7.89 24.88 43.61 99.27Series P4 $ 7.89 24.88 43.61 99.27Series P5 $ 9.74 30.70 53.81 122.48
GLOBAL SECTOR FUNDS
Fidelity Global Real Estate Fund
201
Fund details Fund type Global real estate equity fund
Date started Series A, B, F and O - May 4, 2006
Series S5, S8, T5 and T8 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series E4, P1T5 and P2T5 – January 6, 2017
Series P4 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E3, E4, F*, F5, F8, O, P1*, P1T5, P2*, P2T5, P3*, P4, S5, S8, T5, and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.325%
B, S5 and S8 1.85% 0.300%
E1 and E1T5 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F, F5 and F8 0.85% 0.250%
P1 and P1T5 0.825% 0.200%
P2 and P2T5 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a high total investment return.
It invests primarily in securities of companies anywhere in
the world that participate in the real estate industry.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in REITs, and in equity securities of companies
that invest or operate primarily in the real estate sector,
including companies that own, manage, develop,
finance, and otherwise participate in the residential and
commercial real estate industry.
When buying and selling equity securities and REITs,
may consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Cash flow.
o Quality of management.
The Fund may also:
Invest in companies and REITs of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity Global Real Estate Fund (continued)
202
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Main risk Additional risk
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 39.8% and 10.2%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
real estate companies anywhere in the world and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
203
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.24 82.72 144.99 330.04Series B $ 24.29 76.58 134.23 305.55Series E1 $ 23.68 74.64 130.83 297.81Series E1T5 $ 23.99 75.61 132.53 301.68Series E2 $ 22.65 71.41 125.17 284.92Series E3 $ 20.91 65.92 115.54 263.00Series E4 $ 20.60 64.95 113.84 259.14Series F $ 12.61 39.75 69.66 158.58Series F5 $ 12.71 40.07 70.23 159.87Series F8 $ 12.71 40.07 70.23 159.87Series P1 $ 11.89 37.48 65.70 149.55Series P1T5 $ 12.71 40.07 70.23 159.87Series P2 $ 10.97 34.58 60.60 137.95Series P2T5 $ 10.87 34.25 60.04 136.66Series P3 $ 9.12 28.76 50.41 114.74Series S5 $ 24.81 78.20 137.06 311.99Series S8 $ 24.29 76.58 134.23 305.55Series T5 $ 26.04 82.08 143.86 327.47Series T8 $ 27.06 85.31 149.52 340.36
GLOBAL SECTOR FUNDS
Fidelity Technology Innovators Fund (formerly, Fidelity Global Technology Fund)
204
Fund details Fund type International sector equity fund
Date started Series A and B - June 5, 1997
Series F - October 10, 2000
Series O - January 31, 2001
Series P1 and P2 - December 4, 2015
Series E1 , E2, E3 and E4 - February 5, 2016
Series P3 – January 6, 2017
Series P4 – April 21, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O,P1*, P2*, P3* and P4 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
E3 1.775% 0.175%
E4 1.725% 0.175%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
P3 0.775% 0.125%
P4 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that are positioned to benefit from
advances in technology.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests in companies in technology industries, including
computer services, computer software, computer
systems, communications systems, electronics, internet
related companies, office equipment, scientific
instruments, and semiconductors.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
205
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
As at September 30, 2017, one investor held approximately
20.0% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
technology companies anywhere in the world and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a high
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.63 80.78 141.59 322.31 Series B $ 24.19 76.26 133.67 304.26 Series E1 $ 23.37 73.67 129.13 293.95 Series E2 $ 22.55 71.09 124.60 283.63 Series E3 $ 22.35 70.44 123.47 281.05 Series E4 $ 22.14 69.80 122.34 278.47 Series F $ 12.40 39.10 68.53 156.00 Series P1 $ 11.28 35.54 62.30 141.82 Series P2 $ 10.76 33.93 59.47 135.37 Series P3 $ 9.74 30.70 53.81 122.48
GLOBAL SECTOR FUNDS
Fidelity Global Telecommunications Fund
206
Fund details Fund type International sector equity fund
Date started Series A and B - July 21, 2000
Series F - October 10, 2000
Series O - January 31, 2001
Series P1 - December 4, 2015
Series E1 and E2 - February 5, 2016
Series P2 - March 11, 2016
Type of securities Series A*, B*, E1, E2, F*, O, P1* and P2 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 2.00% 0.325%
B 1.85% 0.300%
E1 1.825% 0.250%
E2 1.80% 0.200%
F 0.85% 0.250%
P1 0.825% 0.200%
P2 0.80% 0.150%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It invests primarily in equity securities of companies
anywhere in the world that are involved in the development,
manufacture or sale of telecommunications services and/or
equipment.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses on a company’s fundamentals, and invests in
shares of companies that trade at prices that reflect
attractive valuations based on its assessment of each
company’s potential for growth and earnings.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry conditions.
o Economic and market conditions.
Takes into account the amount the Fund has invested
in different regions of the world.
The Fund may also:
Invest in companies of any size.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
207
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
17.0% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
telecommunications companies anywhere in the world and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a
medium to high level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.34 83.04 145.56 331.33 Series B $ 24.29 76.58 134.23 305.55 Series E1 $ 23.47 74.00 129.70 295.23 Series E2 $ 21.94 69.15 121.20 275.90 Series F $ 12.81 40.39 70.80 161.15 Series P1 $ 11.17 35.22 61.74 140.53 Series P2 $ 11.07 34.90 61.17 139.24
Profiles of our Asset Allocation and Balanced Funds
208
Our Asset Allocation and Balanced Funds offer diversification of asset classes in one
professionally managed package. Studies have shown that as much as 90% of a portfolio’s return
depends on how you split your investments among equity securities, fixed income investments,
and money market instruments. This is often referred to as asset allocation.
Canadian Asset Allocation and Balanced Funds
Fidelity Canadian Asset Allocation Fund
Fidelity Canadian Balanced Fund
Fidelity Monthly Income Fund
Fidelity Income Allocation Fund
Global Asset Allocation and Balanced Funds
Fidelity Global Asset Allocation Fund
Fidelity Global Monthly Income Fund
Fidelity Global Monthly Income Currency Neutral Fund
Fidelity Tactical Strategies Fund
Fidelity U.S. Monthly Income Fund
Fidelity U.S. Monthly Income Currency Neutral Fund
Fidelity Tactical High Income Fund
Fidelity Tactical High Income Currency Neutral Fund
Fidelity NorthStar® Balanced Fund
Fidelity NorthStar® Balanced Currency Neutral Fund
Fidelity American Balanced Fund
Fidelity American Balanced Currency Neutral Fund
Fidelity Conservative Income Fund
CANADIAN ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Canadian Asset Allocation Fund
209
Fund details Fund type Canadian asset allocation fund
Date started Series A and B - December 30, 1994
Series F - October 10, 2000
Series O - January 2, 2001
Series S8 and T8 - January 14, 2002
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5 and E5T5 - February 5, 2016
Series P5 - September 16, 2016
Type of securities Series A*, B*, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, F*, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.265%
B, S5 and S8 1.85% 0.215%
E1 and E1T5 1.825% 0.190%
E2 and E2T5 1.80% 0.190%
E3 and E3T5 1.775% 0.165%
E4 and E4T5 1.725% 0.140%
E5 and E5T5 1.70% 0.140%
F, F5 and F8 0.85% 0.155%
P1 and P1T5 0.825% 0.130%
P2 0.80% 0.130%
P3 0.775% 0.105%
P4 0.725% 0.080%
P5 0.70% 0.080%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
The Fund uses an asset allocation approach. It invests
primarily in a mix of Canadian equity securities, fixed
income securities and money market instruments.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 65%
equity securities, 30% fixed income securities, and 5%
money market instruments.
Depending on market conditions, may vary the asset
mix from the neutral mix if it believes this produces the
best overall return.
Generally keeps the Fund’s asset mix within the
following ranges: 20%-90% equity securities, 10%-60%
fixed income securities, and 0%-70% money market
instruments.
Invests in any kind of equity or fixed income security, or
money market instrument, including high yield
securities, other lower quality debt securities, and
Canadian or foreign securities.
Decides which asset class a security belongs to, based
on its investment characteristics.
May invest in other securities that do not fall within
these classes.
When buying and selling equity securities, may
consider factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
Fidelity Canadian Asset Allocation Fund (continued)
210
Uses the FTSE TMX Canada Universe Bond Index as
a guide to structuring the domestic investment grade
fixed income portion of the Fund, and generally aims
for this portion of the portfolio to have a similar overall
interest rate risk to the index, but may invest in
securities not included in the index.
Allocates the Fund’s domestic investment grade fixed
income assets among issuers in different market
sectors, such as corporate or government securities,
different industries, like financials and industrials, and
different maturities, based on the portfolio management
team’s views of the relative value of each sector or
maturity.
When buying and selling fixed income securities,
analyze other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest up to 40% of its net assets in foreign securities.
Invest a portion of its fixed income assets in non-
investment grade U.S. high yield debt securities or
convertible securities, which portion of the Fund tends
to have a higher credit risk than the domestic
investment grade fixed income portion of the Fund.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and
reverse repurchase transactions.
Use derivatives for hedging and non-hedging
purposes.
Invest in gold and silver, and other instruments
(such as derivatives and ETFs) that provide
exposure to these metals.
Invest in securities of underlying funds that are
selected in accordance with the Fund’s investment
strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including the relative investment merits of the
particular foreign currency versus the Canadian dollar. The
Fund’s exposure to foreign currency varies based on the
extent of its foreign currency denominated investments, as
well as the extent to which the portfolio management team
decides to hedge the Fund’s currency exposure. The
Fund’s foreign currency exposure may change at any time,
and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
211
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
As at September 30, 2017, one investor held approximately
26.1% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both Canadian equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.01 78.84 138.20 314.57 Series B $ 22.86 72.06 126.30 287.50 Series E1 $ 22.35 70.44 123.47 281.05 Series E1T5 $ 22.55 71.09 124.60 283.63 Series E2 $ 21.83 68.83 120.64 274.61 Series E2T5 $ 22.04 69.47 121.77 277.19 Series E3 $ 21.01 66.24 116.11 264.29 Series E3T5 $ 20.30 63.98 112.14 255.27 Series E4 $ 19.58 61.72 108.18 246.24 Series E4T5 $ 19.48 61.39 107.61 244.95 Series E5 $ 19.17 60.43 105.91 241.09 Series E5T5 $ 19.17 60.43 105.91 241.09 Series F $ 11.17 35.22 61.74 140.53 Series F5 $ 11.07 34.90 61.17 139.24 Series F8 $ 11.28 35.54 62.30 141.82 Series P1 $ 10.76 33.93 59.47 135.37 Series P1T5 $ 10.87 34.25 60.04 136.66 Series P2 $ 9.94 31.34 54.94 125.06 Series P3 $ 9.94 31.34 54.94 125.06 Series P4 $ 9.02 28.44 49.84 113.45 Series P5 $ 8.92 28.11 49.27 112.16 Series S5 $ 22.96 72.38 126.87 288.79 Series S8 $ 23.06 72.70 127.43 290.08 Series T5 $ 25.22 79.49 139.33 317.15 Series T8 $ 24.91 78.52 137.63 313.28
CANADIAN ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Canadian Balanced Fund
212
Fund details Fund type Canadian balanced fund
Date started Series A and B - September 29, 1998
Series F - October 10, 2000
Series O - September 24, 2001
Series S8 and T8 - January 14, 2002
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 andE5 - February 5, 2016
Series P5 - May 13, 2016
Series E3T5, E4T5, P2T5, P3T5, P4T5 and P5T5 - September 16, 2016
Type of securities Series A*, B*, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F*, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.85% 0.265%
B, S5 and S8 1.70% 0.215%
E1 and E1T5 1.70% 0.190%
E2 and E2T5 1.675% 0.190%
E3 and E3T5 1.675% 0.165%
E4 and E4T5 1.65% 0.140%
E5 1.60% 0.140%
F, F5 and F8 0.70% 0.155%
P1 and P1T5 0.70% 0.130%
P2 and P2T5 0.675% 0.130%
P3 and P3T5 0.675% 0.105%
P4 and P4T5 0.65% 0.080%
P5 and P5T5 0.60% 0.080%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
The Fund uses a balanced approach. It invests primarily in
a mix of Canadian equity securities, investment grade
bonds, high yield securities and money market instruments.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 50%
equity securities, 40% investment grade bonds, and
10% high yield securities.
Generally keeps the Fund’s asset mix within the
following ranges: 40%-60% equity securities, 30%-50%
investment grade bonds, and 0%-20% high yield
securities.
Invests in any kind of equity or fixed income security, or
money market instrument, including high yield
securities and other lower quality debt securities.
Decides which asset class a security belongs to, based
on its investment characteristics.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
Uses the FTSE TMX Canada Universe Bond Index as
a guide to structuring and selecting investments for the
domestic investment grade fixed income portion of the
Fund, and generally aims for this portion of the portfolio
to have a similar overall interest rate risk to the index,
but may invest in securities not included in the index.
Allocates the Fund’s domestic investment grade fixed
income assets among issuers in different market
213
sectors, such as corporate or government securities,
different industries, like financials and industrials, and
different maturities, based on the portfolio management
team’s views of the relative value of each sector or
maturity.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest up to 30% of its net assets in foreign securities.
Hold cash.
The high yield debt portion of the Fund tends to have a
higher credit risk than the domestic investment grade fixed
income portion of the Fund.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and
reverse repurchase transactions.
Use derivatives for hedging and non-hedging
purposes.
Invest in gold and silver, and other instruments
(such as derivatives and ETFs) that provide
exposure to these metals.
Invest in securities of underlying funds that are
selected in accordance with the Fund’s investment
strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including the relative investment merits of the
particular foreign currency versus the Canadian dollar. The
Fund’s exposure to foreign currency varies based on the
extent of its foreign currency denominated investments, as
well as the extent to which the portfolio management team
decides to hedge the Fund’s currency exposure. The
Fund’s foreign currency exposure may change at any time,
and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Fidelity Canadian Balanced Fund (continued)
214
Main risk Additional risk
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 15.1% and 11.6%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain Canadian
equity, fixed income and high yield exposure, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.37 73.67 129.13 293.95 Series B $ 21.22 66.89 117.24 266.87 Series E1 $ 20.91 65.92 115.54 263.00 Series E1T5 $ 21.01 66.24 116.11 264.29 Series E2 $ 20.60 64.95 113.84 259.14 Series E2T5 $ 19.99 63.01 110.44 251.40 Series E3 $ 20.81 65.60 114.97 261.71 Series E3T5 $ 19.27 60.75 106.48 242.38 Series E4 $ 18.96 59.78 104.78 238.51 Series E4T5 $ 18.76 59.13 103.65 235.93 Series E5 $ 19.17 60.43 105.91 241.09 Series F $ 9.43 29.73 52.11 118.61 Series F5 $ 9.33 29.40 51.54 117.32 Series F8 $ 9.43 29.73 52.11 118.61 Series P1 $ 9.23 29.08 50.97 116.03 Series P1T5 $ 9.02 28.44 49.84 113.45 Series P2 $ 8.92 28.11 49.27 112.16 Series P2T5 $ 8.61 27.14 47.58 108.30 Series P3 $ 8.92 28.11 49.27 112.16 Series P3T5 $ 8.20 25.85 45.31 103.14 Series P4 $ 8.20 25.85 45.31 103.14 Series P4T5 $ 8.20 25.85 45.31 103.14 Series P5 $ 7.69 24.23 42.48 96.69 Series P5T5 $ 7.69 24.23 42.48 96.69 Series S5 $ 21.32 67.21 117.81 268.16 Series S8 $ 21.22 66.89 117.24 266.87 Series T5 $ 23.68 74.64 130.83 297.81 Series T8 $ 23.47 74.00 129.70 295.23
CANADIAN ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Monthly Income Fund
215
Fund details Fund type Diversified income fund
Date started Series A, B, F, S8 and T8 - November 6, 2003
Series O - August 16, 2006
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P2T5, P3 and P4 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5 and E5 - February 5, 2016
Series P3T5 - May 13, 2016
Series P5 – January 26, 2017
Type of securities Series A*, B*, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F*, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.85% 0.265%
B, S5 and S8 1.70% 0.215%
E1 and E1T5 1.70% 0.190%
E2 and E2T5 1.675% 0.190%
E3 and E3T5 1.675% 0.165%
E4 and E4T5 1.65% 0.140%
E5 1.60% 0.140%
F, F5 and F8 0.70% 0.155%
P1 and P1T5 0.70% 0.130%
P2 and P2T5 0.675% 0.130%
P3 and P3T5 0.675% 0.105%
P4 0.65% 0.080%
P5 0.60% 0.080%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income and the potential for capital gains.
It invests primarily in a mix of Canadian equity securities,
Canadian fixed income securities, U.S. commercial
mortgage-backed securities, and U.S. higher yielding, lower
quality fixed income securities, preferred stocks and
convertible securities. The Fund can invest in these
securities either directly or indirectly through investments in
underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 50%
equity securities and 50% fixed income securities,
which may be Canadian or foreign.
Depending on market conditions, may vary the asset
mix by up to +/- 20% from the neutral mix if it believes
this produces the best overall return.
May invest in a wide variety of equity and fixed income
securities, including common shares, investment grade
and high yield fixed income securities, REITs,
commercial mortgage-backed securities and other high
yielding real estate securities, emerging market debt
securities, convertible securities, and floating rate debt
instruments, either directly or indirectly through
investments in underlying funds.
Decides which asset class a security belongs to based
on its investment characteristics.
Invests the Fund’s assets in other securities that don’t
fall within these classes.
Focuses primarily on a company’s valuations.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in securities that don’t produce income,
including defaulted securities and common stock, or in
Fidelity Monthly Income Fund (continued)
216
companies in a troubled or uncertain financial
condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit quality of the issuer.
o Quality of management.
When buying and selling other fixed income securities,
analyzes factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
o Invest in companies of any size anywhere around
the world.
o Invest up to 49% of its net assets in foreign
securities.
o Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
With respect to its investments in developed market foreign
currency denominated fixed income and/or convertible
securities, the Fund uses forward contracts to hedge as
completely as possible against fluctuations caused by
changes in exchange rates between developed market
foreign currencies and the Canadian dollar. Therefore,
generally, with respect to these investments, the Fund does
not benefit from an increase in the value of developed
market foreign currencies against the Canadian dollar.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
217
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both equity and fixed income securities, want the potential
for both income and capital gains, want the convenience of
a diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.37 73.67 129.13 293.95 Series B $ 21.12 66.57 116.67 265.58 Series E1 $ 20.91 65.92 115.54 263.00 Series E1T5 $ 20.60 64.95 113.84 259.14 Series E2 $ 20.60 64.95 113.84 259.14 Series E2T5 $ 20.71 65.27 114.41 260.43 Series E3 $ 19.78 62.36 109.31 248.82 Series E3T5 $ 18.35 57.84 101.38 230.77 Series E4 $ 18.86 59.46 104.21 237.22 Series E4T5 $ 20.09 63.33 111.01 252.69 Series E5 $ 19.68 62.04 108.74 247.53 Series F $ 9.43 29.73 52.11 118.61 Series F5 $ 9.43 29.73 52.11 118.61 Series F8 $ 9.33 29.40 51.54 117.32 Series P1 $ 9.12 28.76 50.41 114.74 Series P1T5 $ 9.02 28.44 49.84 113.45 Series P2 $ 8.92 28.11 49.27 112.16 Series P2T5 $ 9.02 28.44 49.84 113.45 Series P3 $ 8.61 27.14 47.58 108.30 Series P3T5 $ 8.71 27.47 48.14 109.58 Series P4 $ 7.89 24.88 43.61 99.27 Series P5 $ 7.59 23.91 41.91 95.40 Series S5 $ 21.12 66.57 116.67 265.58
Fidelity Monthly Income Fund (continued)
218
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series S8 $ 21.12 66.57 116.67 265.58 Series T5 $ 23.37 73.67 129.13 293.95 Series T8 $ 23.17 73.03 128.00 291.37
CANADIAN ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Income Allocation Fund
219
Fund details Fund type Diversified income fund
Date started Series A, B, F, O, S8 and T8 - May 25, 2005
Series S5 and T5 - November 16, 2011
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P2T5, P3, P4 andP5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E3T5, E4 and E5 - February 5, 2016
Series E4T5 – January 6, 2017
Series P3T5 – January 26, 2017
Type of securities Series A*, B*, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F*, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.55% 0.265%
B, S5 and S8 1.40% 0.215%
E1 and E1T5 1.40% 0.190%
E2 and E2T5 1.375% 0.190%
E3 and E3T5 1.375% 0.165%
E4 and E4T5 1.35% 0.140%
E5 1.30% 0.140%
F, F5 and F8 0.65% 0.155%
P1 and P1T5 0.65% 0.130%
P2 and P2T5 0.625% 0.130%
P3 and P3T5 0.625% 0.105%
P4 0.60% 0.080%
P5 0.55% 0.080%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a high total investment return.
It invests primarily in investment grade fixed income
securities, higher yielding lower quality fixed income
securities, equity securities of companies that pay dividends
or are expected to pay dividends, and other securities that
are expected to distribute income. The Fund can invest in
these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 30%
equity securities and 70% fixed income securities.
May vary the asset mix from the neutral mix if it
believes this produces the best overall balance of risk
and return.
Generally keeps the Fund’s asset mix within the
following ranges: 0%-50% equity securities and 50%-
100% fixed income securities.
May invest in any kind of fixed income securities,
including lower quality high yield securities.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
When buying and selling equity securities, including
Canadian and U.S. REITs, may consider other factors
about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates
o Ability to sustain dividends or income distributions.
o Quality of management.
Fidelity Income Allocation Fund (continued)
220
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
o Invest in companies of any size anywhere around
the world.
o Invest up to 49% of its net assets in foreign
securities.
o Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest significantly in securities of underlying funds that
are selected in accordance with the Fund’s investment
strategies.
As at September 30, 2017, the Fund invested 82.92% of its
assets in underlying funds.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including the relative investment merits of the
particular foreign currency versus the Canadian dollar. The
Fund’s exposure to foreign currency varies based on the
extent of its foreign currency denominated investments, as
well as the extent to which the portfolio management team
decides to hedge the Fund’s currency exposure. The
Fund’s foreign currency exposure may change at any time,
and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
221
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
Canadian and foreign equity and fixed income securities
and want the potential for both income and capital gains.
The Fund is not an appropriate investment if you have a
short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 19.99 63.01 110.44 251.40Series B $ 17.84 56.22 98.55 224.33Series E1 $ 17.53 55.26 96.85 220.46Series E1T5 $ 17.43 54.93 96.28 219.17Series E2 $ 17.12 53.96 94.58 215.30Series E2T5 $ 16.40 51.70 90.62 206.28Series E3 $ 16.50 52.02 91.19 207.57Series E3T5 $ 17.53 55.26 96.85 220.46Series E4 $ 15.68 49.44 86.66 197.25Series E4T5 $ 16.71 52.67 92.32 210.15Series E5 $ 15.48 48.79 85.52 194.67Series F $ 8.92 28.11 49.27 112.16Series F5 $ 9.02 28.44 49.84 113.45Series F8 $ 8.82 27.79 48.71 110.87Series P1 $ 8.61 27.14 47.58 108.30Series P1T5 $ 8.71 27.47 48.14 109.58Series P2 $ 8.41 26.50 46.44 105.72Series P2T5 $ 8.51 26.82 47.01 107.01Series P3 $ 8.00 25.20 44.18 100.56Series P3T5 $ 8.10 25.53 44.74 101.85Series P4 $ 7.48 23.59 41.35 94.11Series P5 $ 7.07 22.30 39.08 88.96Series S5 $ 17.73 55.90 97.98 223.04Series S8 $ 17.73 55.90 97.98 223.04Series T5 $ 19.99 63.01 110.44 251.40Series T8 $ 20.09 63.33 111.01 252.69
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Global Asset Allocation Fund
222
Fund details Fund type Global asset allocation fund
Date started Series A and B - January 13, 1993
Series F - October 10, 2000
Series O - January 31, 2001
Series S8 and T8 - January 14, 2002
Series S5 and T5 - November 6, 2006
Series F5 and F8 - April 17, 2013
Series P1 and P2 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series E4 and P3 - May 13, 2016
Series P1T5 - September 16, 2016
Series E2T5 – January 26, 2017
Series P4 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4, F*, F5, F8, O, P1*, P1T5, P2*, P3, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.300%
B, S5 and S8 1.85% 0.275%
E1 and E1T5 1.825% 0.225%
E2 and E2T5 1.80% 0.175%
E3 1.775% 0.175%
E4 1.725% 0.150%
F, F5 and F8 0.85% 0.225%
P1 and P1T5 0.825% 0.175%
P2 0.80% 0.125%
P3 0.775% 0.125%
P4 0.725% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
The Fund uses an asset allocation approach. It invests
primarily in a mix of equity securities, fixed income
securities and money market instruments from around the
world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 65%
equity securities, 30% fixed income securities, and 5%
money market instruments.
Depending on market conditions, may vary the asset
mix from the neutral mix if it believes this produces the
best overall return.
Generally keeps the Fund’s asset mix within the
following ranges: 50%-100% equity securities, 0%-50%
fixed income securities, and 0%-50% money market
instruments.
May invest in any kind of equity or fixed income
security or money market instrument from around the
world, including high yield securities and other lower
quality debt securities.
Decides which asset class a security belongs to, based
on its investment characteristics.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
223
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
As at September 30, 2017, the Fund invested 24.42% of its assets in underlying funds.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income and capital
gains in December of each year, and may pay distributions
at other times during the year.
Fidelity Global Asset Allocation Fund (continued)
224
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.75 84.34 147.82 336.49 Series B $ 24.70 77.87 136.50 310.71 Series E1 $ 23.78 74.97 131.40 299.10 Series E1T5 $ 24.09 75.94 133.10 302.97 Series E2 $ 22.96 72.38 126.87 288.79 Series E2T5 $ 21.73 68.50 120.07 273.32 Series E3 $ 23.06 72.70 127.43 290.08 Series E4 $ 22.24 70.12 122.90 279.76 Series F $ 13.22 41.68 73.06 166.31 Series F5 $ 13.53 42.65 74.76 170.18 Series F8 $ 12.71 40.07 70.23 159.87 Series P1 $ 12.40 39.10 68.53 156.00 Series P1T5 $ 12.81 40.39 70.80 161.15 Series P2 $ 11.69 36.84 64.57 146.97 Series P3 $ 10.76 33.93 59.47 135.37 Series S5 $ 24.19 76.26 133.67 304.26 Series S8 $ 24.60 77.55 135.93 309.42 Series T5 $ 26.65 84.01 147.26 335.20 Series T8 $ 26.34 83.04 145.56 331.33
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Global Monthly Income Fund
225
Fund details Fund type Global diversified income
Date started Series A, B, F, O, S5, S8, T5 and T8 - April 18, 2007
Series F5 and F8 - April 17, 2013
Series P1, P1T5, P2, P2T5, P3, P4 andP5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3 and E4 - February 5, 2016
Series E5 - May 13, 2016
Series P3T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E4*, E5, F*, F5, F8, O, P1*, P1T5, P2*, P2T5, P3*, P3T5, P4*, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.95% 0.300%
B, S5 and S8 1.80% 0.275%
E1 and E1T5 1.775% 0.225%
E2 and E2T5 1.75% 0.175%
E3 1.725% 0.175%
E4 1.70% 0.150%
E5 1.65% 0.150%
F, F5 and F8 0.80% 0.225%
P1 and P1T5 0.775% 0.175%
P2 and P2T5 0.75% 0.125%
P3 and P3T5 0.725% 0.125%
P4 0.70% 0.100%
P5 0.65% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income and the potential for capital gains.
It invests primarily in a mix of equity securities and fixed
income securities located anywhere in the world.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 50%
equity securities, including securities expected to
distribute income, and 50% fixed income securities,
Depending on market conditions, may vary the asset
mix by up to +/-20% from the neutral mix if it believes
this produces the best overall return.
May invest in a wide variety of equity and fixed income
securities, including common shares, investment grade
and high yield fixed income securities, REITs,
commercial mortgage-backed securities, emerging
market debt securities, convertible securities, and
floating rate debt instruments.
Decide which asset class a security belongs to, based
on its investment characteristics.
Invest in other securities that don’t fall within these
classes.
Normally diversifies the Fund’s investments across
different countries and regions; however, may
concentrate its investments in relatively few countries,
regions, industries, and companies.
Focuses primarily on a company’s valuations.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in securities that don’t produce income,
including defaulted securities and common stock, or in
companies in a troubled or uncertain financial
condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
Fidelity Global Monthly Income Fund (continued)
226
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest in equity securities of companies of any size
anywhere in the world.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
227
Main risk Additional risk
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund, want
the potential for both income and capital gains and can
handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.01 78.84 138.20 314.57 Series B $ 22.86 72.06 126.30 287.50 Series E1 $ 22.04 69.47 121.77 277.19 Series E1T5 $ 21.42 67.53 118.37 269.45 Series E2 $ 21.01 66.24 116.11 264.29 Series E2T5 $ 20.60 64.95 113.84 259.14 Series E3 $ 20.71 65.27 114.41 260.43 Series E4 $ 20.19 63.66 111.58 253.98 Series E5 $ 20.19 63.66 111.58 253.98 Series F $ 11.38 35.87 62.87 143.10 Series F5 $ 11.28 35.54 62.30 141.82 Series F8 $ 11.38 35.87 62.87 143.10 Series P1 $ 10.46 32.96 57.77 131.50 Series P1T5 $ 10.25 32.31 56.64 128.92 Series P2 $ 9.64 30.37 53.24 121.19 Series P2T5 $ 9.23 29.08 50.97 116.03 Series P3 $ 9.43 29.73 52.11 118.61 Series P3T5 $ 9.02 28.44 49.84 113.45 Series P4 $ 8.51 26.82 47.01 107.01 Series P5 $ 8.41 26.50 46.44 105.72 Series S5 $ 22.35 70.44 123.47 281.05 Series S8 $ 22.65 71.41 125.17 284.92 Series T5 $ 24.81 78.20 137.06 311.99 Series T8 $ 24.70 77.87 136.50 310.71
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Global Monthly Income Currency Neutral Fund
228
Fund details Fund type Global diversified income
Date started Series A, B, E1, F, F5, F8, P1, S5, S8, T5 and T8 – April 22, 2016
Series E1T5, E2, E2T5, P1T5, P2, P2T5 and P3T5 – January 6, 2017
Series P3 – January 26, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.95% 0.330%
B, S5 and S8 1.80% 0.305%
E1 and E1T5 1.775% 0.255%
E2 and E2T5 1.75% 0.205%
F, F5 and F8 0.80% 0.255%
P1 and P1T5 0.775% 0.205%
P2 and P2T5 0.75% 0.155%
P3 and P3T5 0.725% 0.155%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income and the potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve a combination of a steady flow of income and the
potential for capital gains by investing primarily in a mix of
equity securities and fixed income securities located
anywhere in the world. Currently, the underlying fund is
Fidelity Global Monthly Income Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets (such as the U.S. dollar, the Euro or the
Yen) and the Canadian dollar. The Fund may also hedge
against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Global Monthly Income Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Follows a neutral mix guideline of approximately 50%
equity securities, including securities expected to
distribute income, and 50% fixed income securities,
Depending on market conditions, may vary the asset
mix by up to +/-20% from the neutral mix if it believes
this produces the best overall return.
May invest in a wide variety of equity and fixed income
securities, including common shares, investment grade
and high yield fixed income securities, REITs,
commercial mortgage-backed securities, emerging
market debt securities, convertible securities, and
floating rate debt instruments.
Decide which asset class a security belongs to, based
on its investment characteristics.
Invest in other securities that don’t fall within these
classes.
Normally diversifies the Fund’s investments across
different countries and regions; however, may
concentrate its investments in relatively few countries,
regions, industries, and companies.
Focuses primarily on a company’s valuations.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in securities that don’t produce income,
including defaulted securities and common stock, or in
229
companies in a troubled or uncertain financial
condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Short-term trading opportunities resulting from
market inefficiencies.
The underlying fund may also:
Invest in equity securities, either directly or indirectly
through investments in other underlying funds, which
are third-tier funds for the Fund.
Invest in equity securities of companies of any size
anywhere in the world.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The Fund, the underlying fund, and any third-tier fund may
depart from their investment objectives or strategies by
temporarily investing all or a portion of its assets in cash or
fixed income securities issued or guaranteed by a Canadian
or U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Fund, the underlying
fund and any third-tier fund may actively trade the other
investments. This can increase trading costs, which lowers
returns. It also increases the possibility that you receive
capital gains distributions, which are taxable if you hold the
Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Fidelity Global Monthly Income Currency Neutral Fund (continued)
230
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities while seeking
to lower your risk of currency fluctuations between
developed market foreign currencies and the Canadian
dollar, want the convenience of a diversified portfolio in a
single fund, want the potential for both income and capital
gains and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.42 80.14 140.46 319.73 Series B $ 23.58 74.32 130.27 296.52 Series E1 $ 22.76 71.74 125.74 286.21 Series E1T5 $ 22.45 70.77 124.04 282.34 Series E2 $ 22.24 70.12 122.90 279.76 Series E2T5 $ 20.91 65.92 115.54 263.00 Series F $ 11.48 36.19 63.43 144.39 Series F5 $ 11.28 35.54 62.30 141.82 Series F8 $ 11.89 37.48 65.70 149.55 Series P1 $ 10.76 33.93 59.47 135.37 Series P1T5 $ 10.76 33.93 59.47 135.37 Series P2 $ 10.15 31.99 56.07 127.63 Series P2T5 $ 10.46 32.96 57.77 131.50 Series P3 $ 9.53 30.05 52.67 119.90 Series P3T5 $ 9.64 30.37 53.24 121.19 Series S5 $ 22.86 72.06 126.30 287.50 Series S8 $ 23.78 74.97 131.40 299.10 Series T5 $ 25.42 80.14 140.46 319.73 Series T8 $ 25.73 81.11 142.16 323.60
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Tactical Strategies Fund
231
Fund details Fund type Global asset allocation fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 4, 2011
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5 and E2 - February 5, 2016
Series E3 - May 13, 2016
Type of securities Series A*, B*, E1*, E1T5, E2*, E3, F*, F5, F8, O, P1*, P2, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.95% 0.300%
B, S5 and S8 1.80% 0.275%
E1 and E1T5 1.775% 0.225%
E2 1.75% 0.175%
E3 1.725% 0.175%
F, F5 and F8 0.80% 0.225%
P1 0.775% 0.175%
P2 0.75% 0.125%
P3 0.725% 0.125%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve high total investment return.
The Fund uses an asset allocation approach. It invests in
multiple asset classes, including equities, fixed income
securities, commodities and money market instruments of
companies and other issuers anywhere in the world by
investing primarily in a combination of other mutual funds
managed by Fidelity and third party ETFs.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Generally keeps the Fund’s asset mix within the
following ranges: 30%-90% equities, 10%-70% fixed
income securities, and 0%-10% commodities.
Invests in, or with a focus on, global equity and fixed
income securities, commodities, and money market
instruments.
Invests in any kind of equity or fixed income security or
money market instrument, including high yield
securities and other lower quality debt securities (such
as securities with lower credit ratings, for example,
bonds rated below BBB- by Standard & Poor’s).
Invests either directly or indirectly through investments
in underlying Fidelity Funds or ETFs, in, or with a focus
on, global equity and fixed income securities,
commodities and money market instruments.
May change the underlying funds invested in, or the
percentage of the Fund’s assets invested in any
particular underlying fund, at any time.
Decides which asset class a mutual fund or security
belongs to, based on its investment characteristics.
May actively make adjustments to the Fund’s asset
allocation to take advantage of short-term market
opportunities, and may, therefore, hold some positions
for a relatively short period of time.
May make other allocation decisions that are strategic
and longer-term in nature.
Depending on its outlook, may from time to time
allocate substantially all of the Fund’s assets to either
equity or fixed income securities, considering multiple
data sources, including:
o Economic research.
o Quantitative analysis.
o Fundamental research.
o Technical analysis.
Fidelity Tactical Strategies Fund (continued)
232
May from time to time invest in asset-backed securities
and mortgage-backed securities.
In connection with the Fund’s investments in
commodities, may invest, in aggregate, up to 10% of
the Fund’s net assets in gold and/or silver, on an
unlevered or a leveraged basis, and/or in other physical
commodities on an unlevered basis pursuant to
regulatory relief obtained by the Fund. These
investments are made through Gold/Silver ETFs and/or
other Commodity ETFs. Gold/Silver ETFs are ETFs
that seek to replicate the performance of either gold
and/or silver or an index that seeks to replicate the
performance of gold and/or silver, whether on a
leveraged (in an attempt to magnify returns by a
multiple of 200%) or unlevered basis. Gold/Silver ETFs
may invest directly or indirectly in gold, silver or
derivatives the underlying interest of which is gold
and/or silver. Commodity ETFs are ETFs that seek to
replicate the performance of either one or more
physical commodities other than gold or silver or an
index that seeks to replicate the performance of such
physical commodities, but only on an unlevered basis.
Commodity ETFs may invest directly or indirectly in the
physical commodities or derivatives the underlying
interest of which is such physical commodities.
Pursuant to the regulatory relief obtained, no more than
2.5% of the net assets of the Fund may be invested in
any one commodity sector other than gold and/or silver.
For this purpose, the relevant commodity sectors are
energy, grains, industrial metals, livestock, precious
metals other than gold and silver and softs (i.e., cocoa,
cotton, coffee and sugar). In addition, no more than
10% of the net assets of the Fund will be invested, in
aggregate, in Gold/Silver ETFs, Commodity ETFs,
leveraged ETFs and inverse ETFs. The Fund may also
invest in underlying Fidelity Funds or ETFs that are
index participation units as defined in NI 81-102 that
invest in securities of companies involved in one or
more commodity sectors.
The Fund may also hold cash.
The ETFs that the Fund holds are listed in Canada or the
United States, and seek to provide daily results that
replicate the daily performance of a specified widely-quoted
market index on a leveraged (in an attempt to magnify
returns by a multiple or inverse multiple of 200%), inverse
(in an attempt to magnify returns by an inverse multiple of
100%), or unlevered basis.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying Fidelity Funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold, silver and other physical commodities,
and other instruments (such as derivatives and ETFs)
that provide exposure to these commodities.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund and the underlying funds may depart from their
respective investment objectives or strategies by
temporarily investing all or a portion of their assets in cash
or fixed income securities issued or guaranteed by a
Canadian or U.S. government, government agency or
company. The portfolio management team may take this
action to seek protection during a market downturn, or for
other reasons.
The portfolio management team of the Fund and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
233
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities as well as
commodities, want the convenience of a diversified portfolio
in a single fund and can handle the volatility of returns
generally associated with equity investments. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 26.75 84.34 147.82 336.49 Series B $ 25.01 78.84 138.20 314.57 Series E1 $ 24.29 76.58 134.23 305.55 Series E1T5 $ 24.60 77.55 135.93 309.42 Series E2 $ 23.37 73.67 129.13 293.95 Series E3 $ 23.47 74.00 129.70 295.23 Series F $ 13.53 42.65 74.76 170.18 Series F5 $ 13.53 42.65 74.76 170.18 Series F8 $ 13.84 43.62 76.46 174.05 Series P1 $ 12.61 39.75 69.66 158.58 Series P2 $ 11.99 37.81 66.27 150.84 Series P3 $ 10.15 31.99 56.07 127.63 Series S5 $ 25.42 80.14 140.46 319.73 Series S8 $ 25.42 80.14 140.46 319.73 Series T5 $ 27.37 86.28 151.22 344.23 Series T8 $ 27.27 85.95 150.66 342.94
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity U.S. Monthly Income Fund
234
Fund details Fund type U.S. diversified income fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - November 7, 2012
Series P1, P1T5, P2, P2T5, P3, P4 andP5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E3T5, E4 and E5 - February 5, 2016
Series P3T5 – January 6, 2017
Series E4T5 and P4T5 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5*, E3*, E3T5*, E4*, E4T5, E5*, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5*, P3*, P3T5*, P4*, P4T5, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.95% 0.267%
B, S5 and S8 1.80% 0.217%
E1 and E1T5 1.775% 0.167%
E2 and E2T5 1.75% 0.167%
E3 and E3T5 1.725% 0.167%
E4 and E4T5 1.70% 0.167%
E5 1.65% 0.167%
F, F5 and F8 0.80% 0.155%
P1 and P1T5 0.775% 0.105%
P2 and P2T5 0.75% 0.105%
P3 and P3T5 0.725% 0.105%
P4 and P4T5 0.70% 0.105%
P5 0.65% 0.105%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income and the potential for capital gains.
It invests primarily in a mix of U.S. income-producing
securities. Income-producing securities may include, but
are not limited to, common and preferred shares,
investment grade fixed income securities, higher yielding,
lower quality fixed income securities, U.S. dollar-
denominated foreign fixed income securities, real estate
investment trusts (“REITs”) and other real estate related
securities, convertible securities, emerging market debt
securities and floating rate debt instruments. The Fund can
invest in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 50%
exposure to equity securities and 50% exposure to
fixed income securities.
Depending on market conditions, may vary the asset
mix by up to +/- 20% from the neutral mix if it believes
this produces the best overall return.
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
Decides which asset class a security belongs to, based
on its investment characteristics.
Invest in other securities that don’t fall within these
classes.
May change the underlying funds invested in, or the
percentage of the Fund’s assets invested in, a
particular underlying fund at any time.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
235
o Economic and market conditions.
When buying and selling fixed income securities,
analyzes factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
Analyzes credit quality of the issuer based on balance
sheet strength of the issuer, company leverage ratios,
stability of income, management strength and track
record, and risks to the issuer that may impair its ability
to meet its obligations to debtholders.
The Fund may also:
Invest in U.S. or non-U.S. equity securities, as long as
70% of the Fund’s net assets are invested in U.S.
dollar-denominated investments.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund or any underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and any
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Fidelity U.S. Monthly Income Fund (continued)
236
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both U.S. equity and U.S. fixed income securities, want the
potential for both income and capital gains, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund makes monthly distributions of an amount that
will generally be comprised of return of capital and/or net
income on the last business day of each month at a fixed
rate. The dollar amount of the monthly distribution is reset
at the beginning of each calendar year. The monthly
distribution may be adjusted during the year, without prior
notification, if capital market conditions change or for other
reasons. If the Fund does not earn enough income to meet
the fixed rate distribution, it will return capital to make up
the difference. As well, any capital gains and net income
not distributed previously in the year are distributed by the
Fund in December of each year. The Fund may also pay
distributions at other times during the year.
A return of capital distribution is not taxable but reduces the
adjusted cost base of your units. When the Fund returns
capital to you, the Fund is returning a portion of the
money you originally invested. Returns of capital do
not represent income or capital gains earned by the
Fund and do not reflect, and are not the result of, the
Fund’s investment performance. The purpose of
returning capital is to provide you with a steady cash
flow on a monthly basis. Returns of capital will reduce
the amount of your original investment. See Income tax
considerations for investors.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses
payable over
1 year 3 years 5 years 10 years
Series A $ 25.32 79.81 139.90 318.44Series B $ 22.86 72.06 126.30 287.50Series E1 $ 21.94 69.15 121.20 275.90Series E1T5 $ 21.53 67.86 118.94 270.74Series E2 $ 21.83 68.83 120.64 274.61Series E2T5 $ 20.91 65.92 115.54 263.00Series E3 $ 21.42 67.53 118.37 269.45Series E3T5 $ 21.63 68.18 119.51 272.03Series E4 $ 21.53 67.86 118.94 270.74Series E5 $ 21.12 66.57 116.67 265.58Series F $ 10.66 33.61 58.90 134.08Series F5 $ 10.56 33.28 58.34 132.79Series F8 $ 10.56 33.28 58.34 132.79Series P1 $ 9.74 30.70 53.81 122.48Series P1T5 $ 9.64 30.37 53.24 121.19Series P2 $ 9.53 30.05 52.67 119.90Series P2T5 $ 9.33 29.40 51.54 117.32Series P3 $ 9.12 28.76 50.41 114.74Series P3T5 $ 8.92 28.11 49.27 112.16Series P4 $ 9.02 28.44 49.84 113.45Series P5 $ 8.51 26.82 47.01 107.01Series S5 $ 22.55 71.09 124.60 283.63Series S8 $ 22.76 71.74 125.74 286.21Series T5 $ 25.11 79.17 138.76 315.86Series T8 $ 25.11 79.17 138.76 315.86
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity U.S. Monthly Income Currency Neutral Fund
237
Fund details Fund type U.S. diversified income fund
Date started Series A, B, F, F5, F8, S5, S8, T5 and T8 - May 28, 2014
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series E1T5, P1T5 and P3 - September 16, 2016
Series E2T5 – January 6, 2017
Series P2T5 and P3T5 – January 26, 2017
Series E5 – April 21, 2017
Series P4 – July 14, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.95% 0.297%
B, S5 and S8 1.80% 0.247%
E1 and E1T5 1.775% 0.197%
E2 and E2T5 1.75% 0.197%
E3 1.725% 0.197%
E4 1.70% 0.197%
E5 1.65% 0.197%
F, F5 and F8 0.80% 0.185%
P1 and P1T5 0.775% 0.135%
P2 and P2T5 0.75% 0.135%
P3 and P3T5 0.725% 0.135%
P4 0.70% 0.135%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income and the potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve a combination of a steady flow of income and the
potential for capital gains by investing primarily in a mix of
U.S. income-producing securities. Income-producing
securities may include, but are not limited to, common and
preferred shares, investment grade fixed income securities,
higher yielding, lower quality fixed income securities, U.S.
dollar-denominated foreign fixed income securities, real
estate investment trusts (“REITs”) and other real estate
related securities, convertible securities, emerging market
debt securities and floating rate debt instruments. The
underlying fund can invest in these securities either directly
or indirectly through investments in other underlying funds.
Currently, the underlying fund is Fidelity U.S. Monthly
Income Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between U.S. and Canadian
dollars.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity U.S. Monthly Income Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Follows a neutral mix guideline of approximately 50%
equity securities and 50% fixed income securities.
Depending on market conditions, may vary the asset
mix by up to +/- 20% from the neutral mix if it believes
this produces the best overall return.
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
Decides which asset class a security belongs to based
on its investment characteristics.
Fidelity U.S. Monthly Income Currency Neutral Fund (continued)
238
Invests in other securities that don’t fall within these
classes.
Invests in other underlying funds, which make these
third-tier funds for the Fund.
May change the third-tier funds in which it invests, or
the percentage of assets invested in a particular third-
tier fund at any time.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
When buying and selling fixed income securities,
analyzes factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
Analyzes credit quality of the issuer based on balance
sheet strength of the issuer, company leverage ratios,
stability of income, management strength and track
record, and risks to the issuer that may impair its ability
to meet its obligations to debtholders.
The underlying fund may also:
Invest in U.S. or non-U.S. equity securities, as long as
70% of the net assets are invested in U.S. dollar-
denominated investments.
Invest in fixed income securities of any quality or term.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between the U.S. and Canadian dollars.
Therefore, generally, the Fund does not benefit from an
increase in the value of the U.S. dollar against the
Canadian dollar.
The Fund, the underlying fund, and any third-tier fund may
depart from their investment objectives or strategies by
temporarily investing all or a portion of their assets in cash
or fixed income securities issued or guaranteed by a
Canadian or U.S. government, government agency or
company. The portfolio management team may take this
action to seek protection during a market downturn, or for
other reasons.
The portfolio management team of the Fund and the
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
239
Main risk Additional risk
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both U.S. equity and U.S. fixed income securities while
seeking to lower your risk of currency fluctuations between
the U.S. and Canadian dollars, want the potential for both
income and capital gains, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund makes monthly distributions of an amount that
will generally be comprised of return of capital and/or net
income on the last business day of each month at a fixed
rate. The dollar amount of the monthly distribution is reset
at the beginning of each calendar year. The monthly
distribution may be adjusted during the year, without prior
notification, if capital market conditions change or for other
reasons. If the Fund does not earn enough income to meet
the fixed rate distribution, it will return capital to make up
the difference. As well, any capital gains and net income
not distributed previously in the year are distributed by the
Fund in December of each year. The Fund may also pay
distributions at other times during the year.
A return of capital distribution is not taxable but reduces the adjusted cost base of your units. When the Fund returns
capital to you, the Fund is returning a portion of the
money you originally invested. Returns of capital do
not represent income or capital gains earned by the
Fund and do not reflect, and are not the result of, the
Fund’s investment performance. The purpose of
returning capital is to provide you with a steady cash
flow on a monthly basis. Returns of capital will reduce
the amount of your original investment. See Income tax
considerations for investors.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47Series B $ 23.58 74.32 130.27 296.52Series E1 $ 22.35 70.44 123.47 281.05Series E1T5 $ 22.04 69.47 121.77 277.19Series E2 $ 22.14 69.80 122.34 278.47Series E2T5 $ 21.32 67.21 117.81 268.16Series E3 $ 22.24 70.12 122.90 279.76Series E4 $ 21.94 69.15 121.20 275.90
Fidelity U.S. Monthly Income Currency Neutral Fund (continued)
240
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series F $ 11.28 35.54 62.30 141.82Series F5 $ 11.28 35.54 62.30 141.82Series F8 $ 10.66 33.61 58.90 134.08Series P1 $ 10.25 32.31 56.64 128.92Series P1T5 $ 10.35 32.64 57.20 130.21Series P2 $ 9.84 31.02 54.37 123.77Series P2T5 $ 10.15 31.99 56.07 127.63Series P3 $ 9.84 31.02 54.37 123.77Series P3T5 $ 8.41 26.50 46.44 105.72Series S5 $ 23.47 74.00 129.70 295.23Series S8 $ 23.47 74.00 129.70 295.23Series T5 $ 26.04 82.08 143.86 327.47Series T8 $ 25.93 81.75 143.29 326.18
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Tactical High Income Fund
241
Fund details Fund type Global diversified income fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - May 28, 2014
Series P1, P1T5, P2, P2T5, P3, P4 andP5 - December 4, 2015
Series E1, E1T5, E2, E3 and E4 - February 5, 2016
Series E5 - May 13, 2016
Series E2T5 – April 21, 2017
Series E3T5 – July 14, 2017
Series E4T5 – September 22, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5, E3*, E3T5, E4, E4T5, E5, F*, F5*, F8*, O, P1*, P1T5, P2*, P2T5, P3*, P4*, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.90% 0.255%
B, S5 and S8 1.75% 0.205%
E1 and E1T5 1.725% 0.155%
E2 and E2T5 1.70% 0.105%
E3 and E3T5 1.675% 0.105%
E4 and E4T5 1.65% 0.105%
E5 1.625% 0.105%
F, F5 and F8 0.75% 0.205%
P1 and P1T5 0.725% 0.155%
P2 and P2T5 0.70% 0.105%
P3 0.675% 0.105%
P4 0.65% 0.105%
P5 0.625% 0.105%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide income and capital growth.
The Fund invests primarily in a mix of income-producing
securities which may be located anywhere in the world.
Income-producing securities may include, but are not
limited to, equity securities, common and preferred shares,
convertible securities, investment grade fixed income
securities, higher yielding, lower quality fixed income
securities, floating rate debt instruments and asset-backed
securities and mortgage-backed securities. The Fund can
invest in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling high yield securities, including
convertible securities and floating rate debt
instruments, may consider other factors, such as:
o Financial condition.
Fidelity Tactical High Income Fund (continued)
242
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders.
The Fund may also:
Invest in any kind of fixed income securities, including
lower quality high yield securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
243
Main risk Additional risk
Securities lending
Series
Short selling
Small company Specialization
As at September 30, 2017, one investor held approximately
31.8% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by
investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 24.81 78.20 137.06 311.99 Series B $ 22.24 70.12 122.90 279.76 Series E1 $ 21.53 67.86 118.94 270.74 Series E1T5 $ 21.94 69.15 121.20 275.90 Series E2 $ 20.91 65.92 115.54 263.00 Series E3 $ 20.40 64.30 112.71 256.56 Series E4 $ 20.09 63.33 111.01 252.69 Series E5 $ 19.99 63.01 110.44 251.40 Series F $ 10.87 34.25 60.04 136.66 Series F5 $ 10.66 33.61 58.90 134.08 Series F8 $ 10.76 33.93 59.47 135.37 Series P1 $ 9.94 31.34 54.94 125.06 Series P1T5 $ 10.15 31.99 56.07 127.63 Series P2 $ 9.23 29.08 50.97 116.03 Series P2T5 $ 8.82 27.79 48.71 110.87 Series P3 $ 8.92 28.11 49.27 112.16 Series P4 $ 8.71 27.47 48.14 109.58 Series P5 $ 8.51 26.82 47.01 107.01 Series S5 $ 21.53 67.86 118.94 270.74 Series S8 $ 21.22 66.89 117.24 266.87 Series T5 $ 24.81 78.20 137.06 311.99 Series T8 $ 24.70 77.87 136.50 310.71
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Tactical High Income Currency Neutral Fund
244
Fund details Fund type Global diversified income fund
Date started Series A, B, F, F5, F8, S5, S8, T5 and T8 - May 28, 2014
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5 and E2 - February 5, 2016
Series E3, E4, E5, P4 and P5 - May 13, 2016
Series E2T5, P1T5, P2T5, P3T5, P4T5 and P5T5 - September 16, 2016
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.90% 0.285%
B, S5 and S8 1.75% 0.235%
E1 and E1T5 1.725% 0.185%
E2 and E2T5 1.70% 0.135%
E3 1.675% 0.135%
E4 1.65% 0.135%
E5 1.625% 0.135%
F, F5 and F8 0.75% 0.235%
P1 and P1T5 0.725% 0.185%
P2 and P2T5 0.70% 0.135%
P3 and P3T5 0.675% 0.135%
P4 and P4T5 0.65% 0.135%
P5 and P5T5 0.625% 0.135%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide income and capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
provide income and capital growth by investing primarily in
a mix of income-producing securities which may be located
anywhere in the world. Income-producing securities may
include, but are not limited to, equity securities, common
and preferred shares, convertible securities, investment
grade fixed income securities, higher yielding, lower quality
fixed income securities, floating rate debt instruments and
asset-backed securities and mortgage-backed securities.
The underlying fund can invest in these securities either
directly or indirectly through investments in other underlying
funds.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between developed market foreign
currencies and the Canadian dollar. The Fund may also
hedge against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Tactical High Income Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Focuses primarily on a company’s financial stability, its
potential to generate sustainable return on equity over
time, and its valuation.
Invests in companies that it believes are undervalued in
the marketplace based on valuation factors, such as
assets, sales, earnings, growth potential, cash flow,
and other companies in the same industry.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Balance sheet strength.
245
o Earnings estimates.
o Ability to pay dividends.
o Quality of management.
When buying and selling high yield securities, including
convertible securities and floating rate debt
instruments, may consider other factors, such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders.
The underlying fund may also invest in any kind of fixed
income securities, including lower quality high yield
securities.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Fidelity Tactical High Income Currency Neutral Fund (continued)
246
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
global equity and fixed income securities while seeking to
lower your risk of currency fluctuations between developed
market foreign currencies and the Canadian dollar, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.42 80.14 140.46 319.73 Series B $ 22.86 72.06 126.30 287.50 Series E1 $ 21.83 68.83 120.64 274.61 Series E1T5 $ 22.35 70.44 123.47 281.05 Series E2 $ 21.22 66.89 117.24 266.87 Series E2T5 $ 21.12 66.57 116.67 265.58 Series E3 $ 20.81 65.60 114.97 261.71 Series E4 $ 20.60 64.95 113.84 259.14 Series E5 $ 20.40 64.30 112.71 256.56 Series F $ 11.38 35.87 62.87 143.10 Series F5 $ 10.76 33.93 59.47 135.37 Series F8 $ 11.38 35.87 62.87 143.10 Series P1 $ 10.46 32.96 57.77 131.50 Series P1T5 $ 10.46 32.96 57.77 131.50 Series P2 $ 9.53 30.05 52.67 119.90 Series P2T5 $ 9.53 30.05 52.67 119.90 Series P3 $ 9.53 30.05 52.67 119.90 Series P3T5 $ 9.02 28.44 49.84 113.45 Series P4 $ 8.10 25.53 44.74 101.85 Series P4T5 $ 8.30 26.17 45.88 104.43 Series P5 $ 8.92 28.11 49.27 112.16 Series P5T5 $ 8.92 28.11 49.27 112.16 Series S5 $ 22.96 72.38 126.87 288.79 Series S8 $ 22.76 71.74 125.74 286.21 Series T5 $ 25.11 79.17 138.76 315.86 Series T8 $ 25.73 81.11 142.16 323.60
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity NorthStar® Balanced Fund
247
Fund details Fund type Global asset allocation fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - May 28, 2014
Series P1, P1T5, P2, P2T5, P3, P4 andP5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 and E5 - February 5, 2016
Series P3T5 - September 16, 2016
Series P4T5 and P5T5 – July 14, 2017
Series E3T5 – September 22, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5*, E3*, E3T5, E4*, E5*, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5*, P3*, P3T5*, P4*, P4T5, P5*, P5T5, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.95% 0.300%
B, S5 and S8 1.80% 0.275%
E1 and E1T5 1.775% 0.225%
E2 and E2T5 1.75% 0.175%
E3 and E3T5 1.725% 0.175%
E4 1.70% 0.150%
E5 1.65% 0.150%
F, F5 and F8 0.80% 0.225%
P1 and P1T5 0.775% 0.175%
P2 and P2T5 0.75% 0.125%
P3 and P3T5 0.725% 0.125%
P4 and P4T5 0.70% 0.100%
P5 and P5T5 0.65% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
The Fund invests primarily in a mix of equity securities and
fixed income securities from around the world. It can invest
in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 50%
equity securities and 50% fixed income securities.
Depending on market conditions, may vary the asset
mix by up to +/- 20% from the neutral mix if it believes
this produces the best overall return.
May invest in any kind of equity or fixed income
security from around the world, including high yield
securities and other lower quality debt securities.
Considers investing in companies that are in special
situations, such as those experiencing:
o Restructurings.
o Regulatory changes.
o Financial difficulty.
o Management changes.
Invests in equity securities of companies that they
believe offer the potential for growth over the long-term,
and whose shares trade at prices reflecting attractive
valuations.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
Decides which asset class a security belongs to, based
on its investment characteristics.
Invest in other securities that don’t fall within these
asset classes.
Change the underlying funds invested in, or the
percentage of the Fund’s assets invested in, a
particular underlying fund at any time.
When buying and selling equity securities, may
consider other factors about a company, including:
Fidelity NorthStar® Balanced Fund (continued)
248
o Financial condition.
o Industry position.
o Economic and market conditions.
o Value relative to market price.
o Growth and earnings potential.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders.
The Fund may also:
Invest in companies of any size anywhere in the
world.
Have significant exposure to relatively few
companies, industries or countries, or to one size of
company.
Hold a higher proportion of securities that are more
illiquid than other funds.
Invest in fixed income securities of any quality or
term.
Hold cash.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this, the Fund
may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team of the Fund may actively
trade the Fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
249
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
21.3% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.22 79.49 139.33 317.15 Series B $ 23.06 72.70 127.43 290.08 Series E1 $ 22.14 69.80 122.34 278.47 Series E1T5 $ 21.73 68.50 120.07 273.32 Series E2 $ 21.32 67.21 117.81 268.16 Series E2T5 $ 21.01 66.24 116.11 264.29 Series E3 $ 20.30 63.98 112.14 255.27 Series E4 $ 19.48 61.39 107.61 244.95 Series E5 $ 19.68 62.04 108.74 247.53 Series F $ 11.48 36.19 63.43 144.39 Series F5 $ 11.28 35.54 62.30 141.82 Series F8 $ 11.38 35.87 62.87 143.10 Series P1 $ 10.56 33.28 58.34 132.79 Series P1T5 $ 10.56 33.28 58.34 132.79 Series P2 $ 9.74 30.70 53.81 122.48 Series P2T5 $ 9.84 31.02 54.37 123.77 Series P3 $ 9.33 29.40 51.54 117.32 Series P3T5 $ 9.33 29.40 51.54 117.32
Fidelity NorthStar® Balanced Fund (continued)
250
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series P4 $ 9.02 28.44 49.84 113.45 Series P5 $ 8.61 27.14 47.58 108.30 Series S5 $ 22.86 72.06 126.30 287.50 Series S8 $ 22.86 72.06 126.30 287.50 Series T5 $ 25.11 79.17 138.76 315.86 Series T8 $ 25.11 79.17 138.76 315.86
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity NorthStar® Balanced Currency Neutral Fund
251
Fund details Fund type Global asset allocation fund
Date started Series A, B, F, F5, F8, S5, S8, T5 and T8 - May 28, 2014
Series P1 and P2 - December 4, 2015
Series E1, E1T5 and E2 - February 5, 2016
Series P1T5 - March 11, 2016
Series E3, E4, E5, P2T5, P3 and P4 - May 13, 2016
Series E2T5, P3T5, P4T5, P5 and P5T5 - September 16, 2016
Series O – January 6, 2017
Series E3T5 and E4T5 – January 26, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.95% 0.330%
B, S5 and S8 1.80% 0.305%
E1 and E1T5 1.775% 0.255%
E2 and E2T5 1.75% 0.205%
E3 and E3T5 1.725% 0.205%
E4 and E4T5 1.70% 0.180%
E5 1.65% 0.180%
F, F5 and F8 0.80% 0.255%
P1 and P1T5 0.775% 0.205%
P2 and P2T5 0.75% 0.155%
P3 and P3T5 0.725% 0.155%
P4 and P4T5 0.70% 0.130%
P5 and P5T5 0.65% 0.130%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long-term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve long-term capital growth by investing primarily in a
mix of equity securities and fixed income securities from
around the world. The underlying fund can invest in these
securities either directly or indirectly through investments in
other underlying funds. Currently, the underlying fund is
Fidelity NorthStar® Balanced Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between developed market foreign
currencies and the Canadian dollar. The Fund may also
hedge against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity NorthStar® Balanced Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Follows a neutral mix guideline of approximately 50%
equity securities and 50% fixed income securities.
Depending on market conditions, may vary the asset
mix by up to +/- 20% from the neutral mix if it believes
this produces the best overall return.
May invest, either directly or indirectly, through
investments in third-tier funds, in any kind of equity or
fixed income security from around the world, including
high yield securities and other lower quality debt
securities.
Considers investing in companies that are in special
situations, such as those experiencing:
o Restructurings.
o Regulatory changes.
o Financial difficulty.
o Management changes.
Fidelity NorthStar® Balanced Currency Neutral Fund (continued)
252
Invests in equity securities of companies that they
believe offer the potential for growth over the long-term,
and whose shares trade at prices reflecting attractive
valuations.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain
financial condition.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Value relative to market price.
o Growth and earnings potential.
Decides which asset class a security belongs to, based
on its investment characteristics.
Invests in other securities that don’t fall within these
asset classes.
Invests in other underlying funds, which make these
third-tier funds for the Funds.
Changes the third-tier funds in which it invests, or the
percentage of the Fund’s assets invested in, a
particular third-tier fund at any time.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders
The underlying fund may also:
Invest in companies of any size anywhere in the world.
Have significant exposure to relatively few companies,
industries or countries, or to one size of company.
Hold a higher proportion of securities that are more
illiquid than other funds.
Invest in fixed income securities of any quality or term.
Increase its cash and cash equivalent holdings to
attempt to mitigate against downside risk, or where
current opportunities do not meet the portfolio
management team’s investment criteria.
Invest in equity securities, either directly or indirectly
through investments in other underlying funds, which
are third-tier funds for the Fund.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
253
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
As at September 30, 2017, the underlying fund invested
approximately 6.18% of its net assets in securities issued in
currencies that could not practically or economically be
hedged. This amount will vary over time. Because an
efficient market for hedging certain currencies may not
exist, the Fund may not be able to hedge all its foreign
currency exposure. Therefore, the Fund is exposed to
changes in the value of certain currencies against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and the
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities while seeking
to lower your risk of currency fluctuations between
developed market foreign currencies and the Canadian
dollar, want the convenience of a diversified portfolio in a
single fund and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity NorthStar® Balanced Currency Neutral Fund (continued)
254
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional of
the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.93 81.75 143.29 326.18 Series B $ 23.58 74.32 130.27 296.52 Series E1 $ 22.65 71.41 125.17 284.92 Series E1T5 $ 22.24 70.12 122.90 279.76 Series E2 $ 21.53 67.86 118.94 270.74 Series E2T5 $ 22.14 69.80 122.34 278.47 Series E3 $ 21.32 67.21 117.81 268.16 Series E3T5 $ 22.04 69.47 121.77 277.19 Series E4 $ 21.32 67.21 117.81 268.16 Series E4T5 $ 21.42 67.53 118.37 269.45 Series E5 $ 20.60 64.95 113.84 259.14 Series F $ 11.99 37.81 66.27 150.84 Series F5 $ 12.10 38.13 66.83 152.13 Series F8 $ 12.10 38.13 66.83 152.13 Series P1 $ 10.97 34.58 60.60 137.95 Series P1T5 $ 11.17 35.22 61.74 140.53 Series P2 $ 10.05 31.67 55.50 126.34 Series P2T5 $ 10.35 32.64 57.20 130.21 Series P3 $ 9.74 30.70 53.81 122.48 Series P3T5 $ 9.43 29.73 52.11 118.61 Series P4 $ 9.23 29.08 50.97 116.03 Series P4T5 $ 9.53 30.05 52.67 119.90
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series P5 $ 8.82 27.79 48.71 110.87 Series P5T5 $ 8.92 28.11 49.27 112.16 Series S5 $ 23.78 74.97 131.40 299.10 Series S8 $ 23.68 74.64 130.83 297.81 Series T5 $ 25.52 80.46 141.03 321.02 Series T8 $ 25.83 81.43 142.73 324.89
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity American Balanced Fund
255
Fund details Fund type Global balanced fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 – May 6, 2015
Series P1, P1T5, P2, P2T5, P3, P4 and P5 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3 and E4 - February 5, 2016
Series E5 - May 13, 2016
Series E3T5 and P3T5 – January 26, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5*, E3*, E3T5, E4*, E5, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5*, P3*, P3T5*, P4*, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 2.00% 0.255%
B, S5 and S8 1.85% 0.205%
E1 and E1T5 1.825% 0.155%
E2 and E2T5 1.80% 0.105%
E3 and E3T5 1.775% 0.105%
E4 1.725% 0.105%
E5 1.70% 0.105%
F, F5 and F8 0.85% 0.200%
P1 and P1T5 0.825% 0.150%
P2 and P2T5 0.80% 0.100%
P3 and P3T5 0.775% 0.100%
P4 0.725% 0.100%
P5 0.70% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long term capital growth.
It invests primarily in a mix of equity securities, fixed income
securities and money market instruments of U.S. issuers
and other issuers from around the world. The Fund can
invest in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 65%
equity securities, and 35% fixed income securities and
money market instruments.
Depending on market conditions, may vary the asset
mix from the neutral mix if it believes this produces the
best overall return.
Generally keeps the Fund’s asset mix within the
following ranges: 55%-75% equity securities, and 25%-
45% fixed income securities and money market
instruments.
May invest in a wide variety of equity and fixed income
securities, including common shares, investment grade
and high yield fixed income securities, commercial
mortgage-backed securities, emerging market debt
securities, convertible securities, and floating rate debt
instruments, either directly or indirectly through
investments in underlying funds.
Decides which asset class a security belongs to, based
on its investment characteristics.
May invest the Fund’s assets in other securities or
underlying fund, that don’t fall within these classes.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain financial condition.
May change the underlying funds invested in, or the
percentage of the Fund’s assets invested in, a
particular underlying fund at any time.
When buying and selling equity securities, may
consider other factors about a company, including:
Fidelity American Balanced Fund (continued)
256
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders.
The Fund may also:
Invest in companies of any size anywhere in the world.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and any underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including the relative investment merits of the
particular foreign currency versus the Canadian dollar. The
Fund’s exposure to foreign currency varies based on the
extent of its foreign currency denominated investments, as
well as the extent to which the portfolio management team
decide to hedge the Fund’s currency exposure. The Fund’s
foreign currency exposure may change at any time, and
without notice.
The Fund and any underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and any
underlying fund may actively trade the Fund and underlying
fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
257
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
As at September 30, 2017, one investor held approximately
10.4% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Fund is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.63 80.78 141.59 322.31 Series B $ 23.17 73.03 128.00 291.37 Series E1 $ 22.24 70.12 122.90 279.76 Series E1T5 $ 21.83 68.83 120.64 274.61 Series E2 $ 21.53 67.86 118.94 270.74 Series E2T5 $ 20.60 64.95 113.84 259.14 Series E3 $ 20.19 63.66 111.58 253.98 Series E3T5 $ 20.71 65.27 114.41 260.43 Series E4 $ 20.91 65.92 115.54 263.00 Series E5 $ 20.81 65.60 114.97 261.71 Series F $ 11.58 36.51 64.00 145.68 Series F5 $ 11.48 36.19 63.43 144.39
Fidelity American Balanced Fund (continued)
258
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series F8 $ 11.69 36.84 64.57 146.97 Series P1 $ 10.97 34.58 60.60 137.95 Series P1T5 $ 10.87 34.25 60.04 136.66 Series P2 $ 9.94 31.34 54.94 125.06 Series P2T5 $ 9.84 31.02 54.37 123.77 Series P3 $ 9.84 31.02 54.37 123.77 Series P3T5 $ 8.30 26.17 45.88 104.43 Series P4 $ 9.43 29.73 52.11 118.61 Series P5 $ 8.41 26.50 46.44 105.72 Series S5 $ 23.17 73.03 128.00 291.37 Series S8 $ 22.96 72.38 126.87 288.79 Series T5 $ 25.42 80.14 140.46 319.73 Series T8 $ 25.11 79.17 138.76 315.86
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity American Balanced Currency Neutral Fund
259
Fund details Fund type Global balanced fund
Date started Series A, B, E1, F, F5, F8, P1, S5, S8, T5 and T8 – April 22, 2016
Series E1T5, E2, E2T5, E3, P1T5, P2, P2T5, P3 and P3T5 – January 6, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.285%
B, S5 and S8 1.85% 0.235%
E1 and E1T5 1.825% 0.185%
E2 and E2T5 1.80% 0.135%
E3 1.775% 0.135%
F, F5 and F8 0.85% 0.230%
P1 and P1T5 0.825% 0.180%
P2 and P2T5 0.80% 0.130%
P3 and P3T5 0.775% 0.130%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve long term capital growth.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve long term capital growth by investing primarily in a
mix of equity securities, fixed income securities and money
market instruments of U.S. issuers and other issuers from
around the world. The underlying fund can invest in these
securities either directly or indirectly through investments in
other underlying funds. Currently, the underlying fund is
Fidelity American Balanced Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets (such as the U.S. dollar, the Euro or the
Yen) and the Canadian dollar. The Fund may also hedge
against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity American Balanced Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Follows a neutral mix guideline of approximately 65%
equity securities, and 35% fixed income securities and
money market instruments.
Depending on market conditions, may vary the
underlying fund’s asset mix from the neutral mix if it
believes this produces the best overall return.
Generally keeps the underlying fund’s asset mix within
the following ranges: 55%-75% equity securities, and
25%-45% fixed income securities and money market
instruments.
May invest in a wide variety of equity and fixed income
securities, including common shares, investment grade
and high yield fixed income securities, commercial
mortgage-backed securities, emerging market debt
securities, convertible securities, and floating rate debt
instruments, either directly or indirectly through
investments in third-tier funds.
Decides which asset class a security belongs to, based
on its investment characteristics.
Invests in other securities that don’t fall within these
asset classes.
Invests in underlying funds, which make these third-tier
funds for the Fund.
May invest in high yield securities that don’t produce
income, including defaulted securities and common
stock, or in companies in a troubled or uncertain financial condition.
Fidelity American Balanced Currency Neutral Fund (continued)
260
May change the third-tier funds it invests in, or the
percentage of the underlying fund’s assets invested in,
a particular third-tier fund at any time.
When buying and selling equity securities, may
consider other factors about a company, including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Growth potential.
o Earnings estimates.
o Quality of management.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
When buying and selling other fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
o Analyzes credit quality of the issuer based on
balance sheet strength of the issuer, company
leverage ratios, stability of income, management
strength and track record, and risks to the issuer
that may impair its ability to meet its obligations to
debtholders.
Invests in other securities that don’t fall within these
classes.
Invests in other underlying funds, which make these
third-tier funds for the Fund.
Changes the third-tier funds in invests in, or the
percentage of the underlying fund’s assets invested in,
a particular third-tier fund at any time.
The underlying fund may also:
Invest in companies of any size anywhere in the world.
Invest in equity securities, either directly or indirectly
through investments in other underlying funds, which
are third-tier funds for the Fund.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The underlying fund may hedge some or all of its foreign
currency exposure. The portfolio management team makes
this decision as part of the implementation of the overall
investment strategy of the underlying fund. The underlying
fund’s exposure to foreign currency varies based on the
extent of its foreign currency denominated investments, as
261
well as the extent to which the portfolio management team
decides to hedge the underlying fund’s currency exposure.
The underlying fund’s foreign currency exposure may
change at any time, and without notice.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and the
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Main risk Additional risk
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities while seeking
to lower your risk of currency fluctuations between
developed market foreign currencies and the Canadian
dollar, want the convenience of a diversified portfolio in a
single fund and can handle the volatility of returns generally
associated with equity investments. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each quarter. Net income for the fourth quarter and any
capital gains for the year are distributed in December of
each year. The Fund may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fidelity American Balanced Currency Neutral Fund (continued)
262
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 26.04 82.08 143.86 327.47 Series B $ 23.78 74.97 131.40 299.10 Series E1 $ 22.86 72.06 126.30 287.50 Series E1T5 $ 23.27 73.35 128.57 292.66 Series E2 $ 22.04 69.47 121.77 277.19 Series E2T5 $ 22.45 70.77 124.04 282.34 Series E3 $ 21.73 68.50 120.07 273.32 Series F $ 11.99 37.81 66.27 150.84 Series F5 $ 11.79 37.16 65.13 148.26 Series F8 $ 12.20 38.45 67.40 153.42 Series P1 $ 10.97 34.58 60.60 137.95 Series P1T5 $ 11.07 34.90 61.17 139.24 Series P2 $ 10.25 32.31 56.64 128.92 Series P2T5 $ 10.56 33.28 58.34 132.79 Series P3 $ 9.94 31.34 54.94 125.06 Series P3T5 $ 9.94 31.34 54.94 125.06 Series S5 $ 23.99 75.61 132.53 301.68 Series S8 $ 23.78 74.97 131.40 299.10 Series T5 $ 26.24 82.72 144.99 330.04 Series T8 $ 25.22 79.49 139.33 317.15
GLOBAL ASSET ALLOCATION AND BALANCED FUNDS
Fidelity Conservative Income Fund
263
Fund details Fund type Global balanced fund
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 -May 6, 2015
Series P1, P1T5, P2, P3 and P4 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series E1T5 - May 13, 2016
Series E2T5 and P5 - September 16, 2016
Series P2T5 – January 6, 2017
Series E3T5, E4T5 and E5 – January 26, 2017
Series P3T5 and P4T5 – April 21, 2017
Series P5T5 – July 14, 2017
Type of securities Series A*, B*, E1*, E1T5, E2*, E2T5, E3*, E3T5, E4*, E4T5, E5*, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5*, S8*, T5*, and T8* units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.55% 0.255%
B, S5 and S8 1.40% 0.205%
E1 and E1T5 1.40% 0.155%
E2 and E2T5 1.375% 0.130%
E3 and E3T5 1.375% 0.105%
E4 and E4T5 1.35% 0.080%
E5 1.30% 0.080%
F, F5 and F8 0.65% 0.205%
P1 and P1T5 0.65% 0.155%
P2 and P2T5 0.625% 0.130%
P3 and P3T5 0.625% 0.105%
P4 and P4T5 0.60% 0.080%
P5 and P5T5 0.55% 0.080%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a steady flow of
income with the potential for capital gains.
The Fund invests primarily in a mix of fixed income
securities and equity securities from around the world. The
Fund can invest in these securities either directly or
indirectly through investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses an asset allocation strategy.
Follows a neutral mix guideline of approximately 80%
fixed income securities and money market instruments,
and 20% equity securities.
Depending on market conditions, may vary the asset
mix from the neutral mix if it believes this produces the
best overall return.
Generally keeps the Fund’s asset mix within the
following ranges: 70%-95% fixed income securities and
money market, and 5%-30% equity securities. Within
the Fund’s fixed income and money market holdings,
generally keeps the exposure to investment grade
securities between 75% and 100%.
Invests in a mix of fixed income and equity securities,
including global investment grade fixed income
securities, higher yielding lower quality fixed income
securities, senior secured floating rate debt
instruments, emerging markets debt securities, asset-
backed securities, commercial mortgage-backed
securities, money market instruments, common stocks,
convertible securities, preferred stocks, REITs, and
other real estate related securities.
Decides which asset class a security belongs to, based
on its investment characteristics.
May invest the Fund’s assets in other securities that
don’t fall within these classes.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
Fidelity Conservative Income Fund (continued)
264
each of the mutual funds described in this document,
the Fund and any underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Fund’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Fund’s currency
exposure. The Fund’s foreign currency exposure may
change at any time, and without notice.
The Fund and any underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund may actively
trade its investments. This can increase trading costs,
which lowers returns. It also increases the possibility that
you receive capital gains distributions, which are taxable if
you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
both global fixed income and equity securities (with an
emphasis on income) and want the convenience of a
diversified portfolio in a single fund. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
265
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce the
Fund’s returns. This table shows how much the Fund would
pay in expenses on a $1,000 investment that has a 5% annual
return. Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 20.91 65.92 115.54 263.00 Series B $ 18.45 58.16 101.95 232.06 Series E1 $ 17.73 55.90 97.98 223.04 Series E1T5 $ 17.32 54.61 95.72 217.88 Series E2 $ 16.81 52.99 92.89 211.43 Series E2T5 $ 16.81 52.99 92.89 211.43 Series E3 $ 16.50 52.02 91.19 207.57 Series E3T5 $ 16.71 52.67 92.32 210.15 Series E4 $ 16.61 52.35 91.75 208.86 Series E4T5 $ 16.71 52.67 92.32 210.15 Series E5 $ 16.09 50.73 88.92 202.41 Series F $ 9.84 31.02 54.37 123.77 Series F5 $ 9.74 30.70 53.81 122.48 Series F8 $ 9.64 30.37 53.24 121.19 Series P1 $ 9.12 28.76 50.41 114.74 Series P1T5 $ 9.02 28.44 49.84 113.45 Series P2 $ 8.51 26.82 47.01 107.01 Series P2T5 $ 8.71 27.47 48.14 109.58 Series P3 $ 8.41 26.50 46.44 105.72 Series P4 $ 7.69 24.23 42.48 96.69 Series P5 $ 7.18 22.62 39.65 90.25 Series S5 $ 17.94 56.55 99.12 225.62 Series S8 $ 18.66 58.81 103.08 234.64 Series T5 $ 21.01 66.24 116.11 264.29 Series T8 $ 20.91 65.92 115.54 263.00
Profiles of our Fidelity Managed Portfolios
266
The Fidelity Managed Portfolios offer diversification of investments through asset allocation in a
single investment.
Each Fidelity Managed Portfolio invests primarily in underlying funds that, in turn, generally invest
in equity securities and/or fixed income securities. The neutral mix of each Fidelity Managed
Portfolio is different, with the portfolios offering a range of investments in equity securities from
approximately 40% to 85%, and in fixed income securities from approximately 15% to 60%, with
corresponding risk profiles. Where the neutral mix of certain Portfolios is the same, they differ in
that one has generally more emphasis on Canadian equity securities and fixed income securities,
and the other is focused primarily on investing in global equity and fixed income securities. The
neutral mix of each Portfolio may be adjusted from time to time within certain ranges, depending
on market conditions.
Fidelity Managed Portfolios
Fidelity Income Portfolio
Fidelity Global Income Portfolio
Fidelity Balanced Portfolio
Fidelity Global Balanced Portfolio
Fidelity Growth Portfolio
Fidelity Global Growth Portfolio
Fidelity Balanced Managed Risk Portfolio
Fidelity Conservative Managed Risk Portfolio
FIDELITY MANAGED PORTFOLIOS
Fidelity Income Portfolio
267
Fund details Fund type Diversified income
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 18, 2007
Series P1, P1T5, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E2T5 and E3 - February 5, 2016
Series E4 – January 6, 2017
Series P2T5 – April 21, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.85% 0.255%
B, S5 and S8 1.70% 0.205%
E1 and E1T5 1.70% 0.155%
E2 and E2T5 1.675% 0.105%
E3 1.65% 0.105%
E4 1.625% 0.105%
F, F5 and F8 0.70% 0.200%
P1 and P1T5 0.70% 0.150%
P2 and P2T5 0.675% 0.100%
P3 0.65% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve a combination of a steady
flow of income with the potential for capital gains.
The Portfolio is geared towards income. It invests primarily
in underlying funds. These underlying funds generally
invest in Canadian equity securities, foreign equity
securities and/or fixed income securities, with generally
more emphasis on Canadian equity securities and fixed
income securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 40%
equity, and 60% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security, including high yield
securities and other lower quality debt securities, with a
focus on Canadian equity and fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Fidelity Income Portfolio (continued)
268
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action as
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both Canadian and foreign equity and fixed income
securities, want the convenience of a diversified portfolio in
a single fund and want the potential for both income and
capital gains. The Portfolio is not an appropriate investment
if you have a short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
269
Distribution policy The Portfolio generally distributes any net income at the
end of each quarter. Net income for the fourth quarter and
any capital gains for the year are distributed in December of
each year. The Portfolio may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 24.19 76.26 133.67 304.26 Series B $ 21.83 68.83 120.64 274.61 Series E1 $ 21.22 66.89 117.24 266.87 Series E1T5 $ 21.01 66.24 116.11 264.29 Series E2 $ 20.81 65.60 114.97 261.71 Series E2T5 $ 20.81 65.60 114.97 261.71 Series E3 $ 20.40 64.30 112.71 256.56 Series E4 $ 20.19 63.66 111.58 253.98 Series F $ 10.25 32.31 56.64 128.92 Series F5 $ 10.25 32.31 56.64 128.92 Series F8 $ 9.94 31.34 54.94 125.06 Series P1 $ 9.53 30.05 52.67 119.90 Series P1T5 $ 9.64 30.37 53.24 121.19 Series P2 $ 8.82 27.79 48.71 110.87 Series P2T5 $ 9.02 28.44 49.84 113.45 Series P3 $ 8.71 27.47 48.14 109.58 Series S5 $ 21.94 69.15 121.20 275.90 Series S8 $ 21.73 68.50 120.07 273.32 Series T5 $ 24.19 76.26 133.67 304.26 Series T8 $ 24.29 76.58 134.23 305.55
FIDELITY MANAGED PORTFOLIOS
Fidelity Global Income Portfolio
270
Fund details Fund type Global income
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 18, 2007
Series P1, P1T5, P2 and P3 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series P2T5 - September 16, 2016
Series E2T5 and E4 – January 6, 2017
Series E5 – January 26, 2017
Series P4 – September 22, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.85% 0.255%
B, S5 and S8 1.70% 0.205%
E1 and E1T5 1.70% 0.155%
E2 and E2T5 1.675% 0.105%
E3 1.65% 0.105%
E4 1.625% 0.105%
E5 1.60% 0.105%
F, F5 and F8 0.70% 0.200%
P1 and P1T5 0.70% 0.150%
P2 and P2T5 0.675% 0.100%
P3 0.65% 0.100%
P4 0.625% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve a combination of a steady
flow of income with the potential for capital gains.
The Portfolio is geared towards income. It invests primarily
in underlying funds. These underlying funds generally
invest in global equity securities and/or fixed income
securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 40%
equity, and 60% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security, global equity and/or
fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
271
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
want the potential for both income and capital gains. The
Portfolio is not an appropriate investment if you have a
short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Fidelity Global Income Portfolio (continued)
272
Distribution policy The Portfolio generally distributes any net income at the
end of each quarter. Net income for the fourth quarter and
any capital gains for the year are distributed in December of
each year. The Portfolio may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 24.19 76.26 133.67 304.26 Series B $ 21.73 68.50 120.07 273.32 Series E1 $ 21.22 66.89 117.24 266.87 Series E1T5 $ 21.63 68.18 119.51 272.03 Series E2 $ 20.81 65.60 114.97 261.71 Series E2T5 $ 20.50 64.63 113.28 257.85 Series E3 $ 20.30 63.98 112.14 255.27 Series E4 $ 19.99 63.01 110.44 251.40 Series E5 $ 19.58 61.72 108.18 246.24 Series F $ 10.15 31.99 56.07 127.63 Series F5 $ 10.35 32.64 57.20 130.21 Series F8 $ 10.05 31.67 55.50 126.34 Series P1 $ 9.53 30.05 52.67 119.90 Series P1T5 $ 9.84 31.02 54.37 123.77 Series P2 $ 8.51 26.82 47.01 107.01 Series P2T5 $ 8.30 26.17 45.88 104.43 Series P3 $ 8.71 27.47 48.14 109.58 Series S5 $ 22.14 69.80 122.34 278.47 Series S8 $ 21.63 68.18 119.51 272.03 Series T5 $ 24.40 76.91 134.80 306.84 Series T8 $ 24.19 76.26 133.67 304.26
FIDELITY MANAGED PORTFOLIOS
Fidelity Balanced Portfolio
273
Fund details Fund type Balanced
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 18, 2007
Series P1, P1T5, P2 and P3 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series E4 - September 16, 2016
Series P4 – January 6, 2017
Series E2T5 and P2T5 – January 26, 2017
Series P5 – July 14, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.95% 0.255%
B, S5 and S8 1.80% 0.205%
E1 and E1T5 1.775% 0.155%
E2 and E2T5 1.75% 0.105%
E3 1.725% 0.105%
E4 1.70% 0.105%
F, F5 and F8 0.80% 0.200%
P1 and P1T5 0.775% 0.150%
P2 and P2T5 0.75% 0.100%
P3 0.725% 0.100%
P4 0.70% 0.100%
P5 0.65% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a balanced approach. It invests primarily
in underlying funds. These underlying funds generally
invest in Canadian equity securities, foreign equity
securities and/or fixed income securities, with generally
more emphasis on Canadian equity securities and fixed
income securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 60%
equity, and 40% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security, with a focus on
Canadian equity and fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Fidelity Balanced Portfolio (continued)
274
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both Canadian and foreign equity and fixed income
securities, want the convenience of a diversified portfolio in
a single fund and can handle the volatility of returns
generally associated with equity investments. The Portfolio
is not an appropriate investment if you have a short-term
investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
275
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.01 78.84 138.20 314.57Series B $ 22.86 72.06 126.30 287.50Series E1 $ 22.04 69.47 121.77 277.19Series E1T5 $ 21.73 68.50 120.07 273.32Series E2 $ 21.01 66.24 116.11 264.29Series E2T5 $ 21.53 67.86 118.94 270.74Series E3 $ 21.32 67.21 117.81 268.16Series E4 $ 20.71 65.27 114.41 260.43Series F $ 11.28 35.54 62.30 141.82Series F5 $ 11.28 35.54 62.30 141.82Series F8 $ 11.07 34.90 61.17 139.24Series P1 $ 10.15 31.99 56.07 127.63Series P1T5 $ 10.25 32.31 56.64 128.92Series P2 $ 9.74 30.70 53.81 122.48Series P2T5 $ 9.74 30.70 53.81 122.48Series P3 $ 9.53 30.05 52.67 119.90Series P4 $ 9.02 28.44 49.84 113.45Series S5 $ 22.86 72.06 126.30 287.50Series S8 $ 22.96 72.38 126.87 288.79Series T5 $ 25.63 80.78 141.59 322.31Series T8 $ 24.91 78.52 137.63 313.28
FIDELITY MANAGED PORTFOLIOS
Fidelity Global Balanced Portfolio
276
Fund details Fund type Global balanced
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 18, 2007
Series P1, P1T5, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E2T5, E3, E4 andE5 - February 5, 2016
Series P4 - March 11, 2016
Series P2T5 and P3T5 - September 16, 2016
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.95% 0.255%
B, S5 and S8 1.80% 0.205%
E1 and E1T5 1.775% 0.155%
E2 and E2T5 1.75% 0.105%
E3 1.725% 0.105%
E4 1.70% 0.105%
E5 1.65% 0.105%
F, F5 and F8 0.80% 0.200%
P1 and P1T5 0.775% 0.150%
P2 and P2T5 0.75% 0.100%
P3 and P3T5 0.725% 0.100%
P4 0.70% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a balanced approach. It invests primarily
in underlying funds. These underlying funds generally
invest in global equity securities and/or fixed income
securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 60%
equity, and 40% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security, including global equity
and/or fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
277
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Portfolio is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Fidelity Global Balanced Portfolio (continued)
278
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.11 79.17 138.76 315.86 Series B $ 22.76 71.74 125.74 286.21 Series E1 $ 21.83 68.83 120.64 274.61 Series E1T5 $ 22.45 70.77 124.04 282.34 Series E2 $ 21.01 66.24 116.11 264.29 Series E2T5 $ 21.53 67.86 118.94 270.74 Series E3 $ 21.22 66.89 117.24 266.87 Series E4 $ 20.71 65.27 114.41 260.43 Series E5 $ 19.68 62.04 108.74 247.53 Series F $ 11.28 35.54 62.30 141.82 Series F5 $ 11.28 35.54 62.30 141.82 Series F8 $ 11.17 35.22 61.74 140.53 Series P1 $ 10.35 32.64 57.20 130.21 Series P1T5 $ 10.56 33.28 58.34 132.79 Series P2 $ 9.43 29.73 52.11 118.61 Series P2T5 $ 9.74 30.70 53.81 122.48 Series P3 $ 9.43 29.73 52.11 118.61 Series P3T5 $ 9.43 29.73 52.11 118.61 Series P4 $ 9.02 28.44 49.84 113.45 Series S5 $ 22.76 71.74 125.74 286.21 Series S8 $ 22.86 72.06 126.30 287.50 Series T5 $ 25.32 79.81 139.90 318.44 Series T8 $ 25.11 79.17 138.76 315.86
FIDELITY MANAGED PORTFOLIOS
Fidelity Growth Portfolio
279
Fund details Fund type Diversified growth
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 -April 18, 2007
Series P1 and P2 - December 4, 2015
Series E1, E1T5, E2 and E3 - February 5, 2016
Series P1T5 – January 6, 2017
Type of securities Series A, B, E1, E1T5, E2, E3, F, F5, F8, O, P1, P1T5, P2, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.255%
B, S5 and S8 1.85% 0.205%
E1 and E1T5 1.825% 0.155%
E2 1.80% 0.105%
E3 1.775% 0.105%
F, F5 and F8 0.85% 0.200%
P1 and P1T5 0.825% 0.150%
P2 0.80% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio is geared towards capital growth. It invests
primarily in underlying funds. These underlying funds
generally invest in Canadian equity securities, foreign
equity securities and/or fixed income securities, with
generally more emphasis on Canadian equity securities and
fixed income securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 85%
equity, and 15% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security with a focus on
Canadian equity and fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity Growth Portfolio (continued)
280
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Main risk Additional risk
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both Canadian and foreign equity and fixed income
securities, want the convenience of a diversified portfolio in
a single fund and can handle the volatility of returns
generally associated with equity investments. The Portfolio
is not an appropriate investment if you have a short-term
investment horizon.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
281
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.32 79.81 139.90 318.44Series B $ 23.17 73.03 128.00 291.37Series E1 $ 22.45 70.77 124.04 282.34Series E1T5 $ 21.42 67.53 118.37 269.45Series E2 $ 21.94 69.15 121.20 275.90Series E3 $ 21.73 68.50 120.07 273.32Series F $ 11.89 37.48 65.70 149.55Series F5 $ 12.20 38.45 67.40 153.42Series F8 $ 11.99 37.81 66.27 150.84Series P1 $ 10.87 34.25 60.04 136.66Series P1T5 $ 11.38 35.87 62.87 143.10Series P2 $ 10.46 32.96 57.77 131.50Series S5 $ 23.47 74.00 129.70 295.23Series S8 $ 23.78 74.97 131.40 299.10Series T5 $ 25.63 80.78 141.59 322.31Series T8 $ 25.93 81.75 143.29 326.18
FIDELITY MANAGED PORTFOLIOS
Fidelity Global Growth Portfolio
282
Fund details Fund type Global growth
Date started Series A, B, F, F5, F8, O, S5, S8, T5 and T8 - April 18, 2007
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2 and E3 – February 5, 2016
Series E4 - May 13, 2016
Series P1T5 - September 16, 2016
Series P2T5 and P4 – September 22, 2017
Type of securities Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 2.00% 0.255%
B, S5 and S8 1.85% 0.205%
E1 and E1T5 1.825% 0.155%
E2 1.80% 0.105%
E3 1.775% 0.105%
E4 1.725% 0.105%
F, F5 and F8 0.85% 0.200%
P1 and P1T5 0.825% 0.150%
P2 and P2T5 0.80% 0.100%
P3 0.775% 0.100%
P4 0.725% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio is geared towards capital growth. It invests
primarily in underlying funds. These underlying funds
generally invest in global equity securities and/or fixed
income securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 85%
equity, and 15% fixed income and money market
instruments.
Depending on market conditions, may vary the asset
mix by up to +/- 15% from the neutral mix if it believes
this produces the best overall return.
Uses an asset allocation strategy, and invests primarily
in underlying funds, including other Fidelity Funds and
ETFs.
Invests in underlying funds that invest in any kind of
equity or fixed income security, including global equity
and/or fixed income securities.
Decides which asset class a fund or security belongs
to, based on its investment characteristics.
Invests in underlying funds that invest in other
securities that don’t fall within these classes.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in a
particular underlying fund, at any time.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
283
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Main risk Additional risk
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
both global equity and fixed income securities, want the
convenience of a diversified portfolio in a single fund and
can handle the volatility of returns generally associated with
equity investments. The Portfolio is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Fidelity Global Growth Portfolio (continued)
284
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 25.52 80.46 141.03 321.02 Series B $ 23.27 73.35 128.57 292.66 Series E1 $ 22.55 71.09 124.60 283.63 Series E1T5 $ 21.22 66.89 117.24 266.87 Series E2 $ 21.94 69.15 121.20 275.90 Series E3 $ 21.73 68.50 120.07 273.32 Series E4 $ 21.12 66.57 116.67 265.58 Series F $ 11.89 37.48 65.70 149.55 Series F5 $ 11.89 37.48 65.70 149.55 Series F8 $ 11.79 37.16 65.13 148.26 Series P1 $ 11.07 34.90 61.17 139.24 Series P1T5 $ 10.97 34.58 60.60 137.95 Series P2 $ 10.25 32.31 56.64 128.92 Series P3 $ 10.05 31.67 55.50 126.34 Series S5 $ 23.37 73.67 129.13 293.95 Series S8 $ 23.58 74.32 130.27 296.52 Series T5 $ 25.32 79.81 139.90 318.44 Series T8 $ 25.93 81.75 143.29 326.18
FIDELITY MANAGED PORTFOLIOS
Fidelity Balanced Managed Risk Portfolio
285
Fund details Fund type Global balanced
Date started Series A, B, E1, E1T5, F, F5, F8, O, P1, P1T5, S5, S8, T5 and T8 – October 28, 2016
Series E2, E3, E4, E5, P2, P3, P4 and P5 – January 26, 2017
Series P2T5 – July 14, 2017
Series E2T5 and P3T5 – September 22, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E2T5, E3*, E4*, E5*, F*, F5*, F8*, O, P1*, P1T5*, P2*, P2T5, P3*, P3T5, P4*, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.95% 0.255%
B, S5 and S8 1.80% 0.205%
E1 and E1T5 1.775% 0.155%
E2 and E2T5 1.75% 0.105%
E3 1.725% 0.105%
E4 1.70% 0.105%
E5 1.65% 0.105%
F, F5 and F8 0.80% 0.200%
P1 and P1T5 0.775% 0.150%
P2 and P2T5 0.75% 0.100%
P3 and P3T5 0.725% 0.100%
P4 0.70% 0.100%
P5 0.65% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve long-term capital growth while
mitigating the Portfolio’s exposure to market volatility.
The Portfolio uses a balanced approach. It invests primarily
in a mix of equity and fixed income securities of issuers
anywhere in the world. It invests in these securities either
directly or indirectly through investments in underlying
funds. The Portfolio may also hold cash and other types of
securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 60%
equity, and 40% fixed income.
May vary the Portfolio’s exposure to equity between
approximately 45% and 70%, and fixed income
between approximately 30% and 55%.
Invests in underlying funds that invest in any kind of
equity or fixed income security.
Invests in high yield securities or other lower quality
debt securities, either directly or indirectly through
investments in underlying funds.
Uses strategies like investing in asset classes with low
correlation to each other, such as low volatility equity
portfolios and diversified fixed income securities, to
mitigate the Portfolio’s exposure to market volatility.
As a result of the investment strategies to mitigate the
Portfolio’s exposure to market volatility, the Portfolio
may not fully benefit from strong market growth.
The Portfolio may also:
Invest in other types of securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Fidelity Balanced Managed Risk Portfolio (continued)
286
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may employ an options strategy designed to
provide downside risk protection in relation to certain
securities that the Portfolio has exposure to.
The Portfolio and the underlying funds may engage in short
selling in order to manage volatility or enhance the
Portfolio’s performance in declining or volatile markets. Any
short selling is done in a manner consistent with its
investment objectives, and as permitted by Canadian
securities regulatory authorities.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
equity securities and fixed income securities of issuers
anywhere in the world, want the convenience of a
diversified portfolio in a single fund that aims to mitigate its
exposure to market volatility and can handle changes in the
value of your investment. The Portfolio is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
287
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 24.60 77.55 135.93 309.42 Series B $ 22.76 71.74 125.74 286.21 Series E1 $ 21.83 68.83 120.64 274.61 Series E1T5 $ 22.65 71.41 125.17 284.92 Series E2 $ 21.42 67.53 118.37 269.45 Series E3 $ 20.50 64.63 113.28 257.85 Series E4 $ 20.40 64.30 112.71 256.56 Series E5 $ 20.40 64.30 112.71 256.56 Series F $ 11.48 36.19 63.43 144.39 Series F5 $ 11.28 35.54 62.30 141.82 Series F8 $ 11.48 36.19 63.43 144.39 Series P1 $ 10.46 32.96 57.77 131.50 Series P1T5 $ 10.66 33.61 58.90 134.08 Series P2 $ 9.43 29.73 52.11 118.61 Series P3 $ 8.82 27.79 48.71 110.87 Series P4 $ 8.10 25.53 44.74 101.85 Series P5 $ 8.10 25.53 44.74 101.85 Series S5 $ 22.96 72.38 126.87 288.79 Series S8 $ 22.65 71.41 125.17 284.92 Series T5 $ 24.81 78.20 137.06 311.99
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series T8 $ 24.50 77.23 135.36 308.13
FIDELITY MANAGED PORTFOLIOS
Fidelity Conservative Managed Risk Portfolio
288
Fund details Fund type Global income
Date started Series A, B, E1, E1T5, F, F5, F8, O, P1, P1T5, S5, S8, T5 and T8 – October 28, 2016 Series E2, E3, E4, E5, P2, P3, P4 and P5 – January 26, 2017
Type of securities Series A*, B*, E1*, E1T5*, E2*, E3*, E4*, E5*, F*, F5*, F8*, O, P1*, P1T5*, P2*, P3*, P4*, P5*, S5*, S8*, T5* and T8* units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A, T5 and T8 1.85% 0.255%
B, S5 and S8 1.70% 0.205%
E1 and E1T5 1.70% 0.155%
E2 1.675% 0.105%
E3 1.65% 0.105%
E4 1.625% 0.105%
E5 1.60% 0.105%
F, F5 and F8 0.70% 0.200%
P1 and P1T5 0.70% 0.150%
P2 0.675% 0.100%
P3 0.65% 0.100%
P4 0.625% 0.100%
P5 0.60% 0.100%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve a combination of a steady
flow of income with the potential for capital growth while
mitigating the Portfolio’s exposure to market volatility.
The Portfolio uses a balanced approach. It invests primarily
in a mix of equity and fixed income securities of issuers
anywhere in the world. It invests in these securities either
directly or indirectly through investments in underlying
funds. The Portfolio may also hold cash and other types of
securities.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Follows a neutral mix guideline of approximately 60%
fixed income, and 40% equity.
May vary the Portfolio’s exposures to fixed income
between approximately 50% and 75%, and to equity
between approximately 25% and 50%.
Invests in underlying funds that invest in any kind of
equity or fixed income security.
Invests in high yield securities or other lower quality
debt securities, either directly or indirectly through
underlying funds.
Uses strategies like investing in asset classes with low
correlation to each other such as low volatility equity
portfolios and diversified fixed income securities, to
mitigate the Portfolio’s exposure to market volatility.
As a result of the investment strategies to mitigate the
Portfolio’s exposure to market volatility, the Portfolio
may not fully benefit from strong market growth.
The Portfolio may also:
Invest in other types of securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
289
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may employ an options strategy designed to
provide downside risk protection in relation to certain
securities that the Portfolio has exposure to.
The Portfolio and the underlying funds may engage in short
selling in order to manage volatility or enhance the
Portfolio’s performance in declining or volatile markets. Any
short selling is done in a manner consistent with its
investment objectives, and as permitted by Canadian
securities regulatory authorities.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions
Securities lending Series Short selling Small company Specialization
Who should invest in this fund? You might want to consider the Portfolio if you plan to hold
your investment for the long-term, want to gain exposure to
equity securities and fixed income securities of issuers
anywhere in the world, want the convenience of a
diversified portfolio in a single fund that aims to mitigate its
exposure to market volatility and can handle changes in the
value of your investment. The Portfolio is not an appropriate
investment if you have a short-term investment horizon.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
Fidelity Conservative Managed Risk Portfolio (continued)
290
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income at the
end of each quarter. Net income for the fourth quarter and
any capital gains for the year are distributed in December of
each year. The Portfolio may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series are paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.27 73.35 128.57 292.66 Series B $ 21.63 68.18 119.51 272.03 Series E1 $ 20.91 65.92 115.54 263.00 Series E1T5 $ 21.63 68.18 119.51 272.03 Series E2 $ 19.58 61.72 108.18 246.24 Series E3 $ 20.30 63.98 112.14 255.27 Series E4 $ 19.89 62.69 109.88 250.11 Series E5 $ 18.86 59.46 104.21 237.22 Series F $ 10.35 32.64 57.20 130.21 Series F5 $ 10.35 32.64 57.20 130.21 Series F8 $ 10.46 32.96 57.77 131.50 Series P1 $ 9.64 30.37 53.24 121.19 Series P1T5 $ 10.05 31.67 55.50 126.34 Series P2 $ 8.30 26.17 45.88 104.43 Series P3 $ 8.20 25.85 45.31 103.14 Series P4 $ 8.20 25.85 45.31 103.14 Series P5 $ 8.20 25.85 45.31 103.14
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series S5 $ 21.63 68.18 119.51 272.03 Series S8 $ 21.94 69.15 121.20 275.90 Series T5 $ 22.86 72.06 126.30 287.50 Series T8 $ 24.60 77.55 135.93 309.42
Profiles of our Fidelity ClearPath® Retirement Portfolios
291
The Fidelity ClearPath® Portfolios offer diversification of asset classes by investing primarily in
underlying funds. They are different from other asset allocation and balanced funds because they
are managed on the basis that the types of assets (i.e., primarily underlying funds) that they invest
in gradually become more conservative over time as the target date of each Portfolio approaches.
After the target date is reached, the asset mix of each Fidelity ClearPath® Portfolio continues to
become more conservative until such time as it starts to closely resemble the asset mix of the
Fidelity ClearPath® Income Portfolio. At that time, which is expected to be approximately 20 years
after the respective target date for each Fidelity ClearPath® Portfolio, the Portfolio will be
combined with the Fidelity ClearPath® Income Portfolio and unitholders of the Fidelity ClearPath®
Portfolio will become unitholders of the Fidelity ClearPath® Income Portfolio. See About the
Fidelity ClearPath® Retirement Portfolios section for details.
Fidelity ClearPath® Retirement Portfolios
Fidelity ClearPath® 2005 Portfolio
Fidelity ClearPath® 2010 Portfolio
Fidelity ClearPath® 2015 Portfolio
Fidelity ClearPath® 2020 Portfolio
Fidelity ClearPath® 2025 Portfolio
Fidelity ClearPath® 2030 Portfolio
Fidelity ClearPath® 2035 Portfolio
Fidelity ClearPath® 2040 Portfolio
Fidelity ClearPath® 2045 Portfolio
Fidelity ClearPath® 2050 Portfolio
Fidelity ClearPath® 2055 Portfolio
Fidelity ClearPath® Income Portfolio
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2005 Portfolio
292
Fund details Fund type Lifecycle fund
Date started Series A, B, F, S8 and T8 - November 3, 2005
Series S5 and T5 - November 6, 2006
Series O - August 13, 2008
Series P1 - December 4, 2015
Series E1, E1T5 and E2 - February 5, 2016
Series E3 - May 13, 2016
Series E2T5 and P2 - September 16, 2016
Series E4 – July 14, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.50% 0.230%
B, S5 and S8 1.25% 0.180%
E1 and E1T5 1.25% 0.155%
E2 and E2T5 1.25% 0.130%
E3 1.225% 0.130%
E4 1.20% 0.130%
F 0.60% 0.136%
P1 0.60% 0.111%
P2 0.60% 0.086%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. Starting on the
Portfolio’s target date, 2005, and for a period of
approximately 20 years thereafter, an increasing proportion
of the Portfolio’s assets will gradually be invested in
securities of fixed income funds and money market funds.
When the Portfolio’s asset allocation is substantially similar
to that of the Fidelity ClearPath® Income Portfolio, it is
expected that the Portfolio will, on prior notice to investors
and on a date determined by Fidelity, be combined with
Fidelity ClearPath® Income Portfolio and the Portfolio’s
unitholders will become unitholders of Fidelity ClearPath®
Income Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 34%
equity, 46% fixed income, and 20% money market
instruments and short-term bonds.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
Changes the neutral mix over time, and expects the
neutral mix, on or about the time it is anticipated to
combine with Fidelity ClearPath® Income Portfolio, to
be approximately 21% equity, 35% fixed income, and
44% money market instruments and short-term bonds.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
293
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Fidelity ClearPath® 2005 Portfolio (continued)
294
Main risk Additional risk
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you retired
around the year 2005, want to gain exposure to equity and
fixed income securities and want the convenience of a
diversified portfolio in a single fund.
To invest in the Portfolio, you should be able to accept a
low level of risk. For more information on how a fund’s risk
level is determined, see Specific information about each
of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 19.78 62.36 109.31 248.82
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series B $ 16.40 51.70 90.62 206.28 Series E1 $ 15.99 50.41 88.35 201.12 Series E1T5 $ 16.30 51.38 90.05 204.99 Series E2 $ 14.86 46.85 82.12 186.94 Series E2T5 $ 14.86 46.85 82.12 186.94 Series E3 $ 14.66 46.21 80.99 184.36 Series F $ 8.20 25.85 45.31 103.14 Series P1 $ 7.89 24.88 43.61 99.27 Series P2 $ 7.89 24.88 43.61 99.27 Series S5 $ 15.99 50.41 88.35 201.12 Series S8 $ 16.71 52.67 92.32 210.15 Series T5 $ 19.78 62.36 109.31 248.82 Series T8 $ 19.89 62.69 109.88 250.11
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2010 Portfolio
295
Fund details Fund type Lifecycle fund
Date started Series A, B, F, S8 and T8 - November 3, 2005
Series S5 and T5 - November 6, 2006
Series O - August 13, 2008
Series P1 and P2 - December 4, 2015
Series E1, E1T5 and E2 - February 5, 2016
Series E2T5 and E3 - September 16, 2016
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, F, O, P1, P2, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.75% 0.255%
B, S5 and S8 1.60% 0.205%
E1 and E1T5 1.60% 0.155%
E2 and E2T5 1.575% 0.105%
E3 1.55% 0.105%
F 0.65% 0.200%
P1 0.65% 0.150%
P2 0.625% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2010 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets will gradually be invested
in securities of fixed income funds and money market
funds. When the Portfolio’s asset allocation is substantially
similar to that of the Fidelity ClearPath® Income Portfolio, it
is expected that the Portfolio will, on prior notice to
investors and on a date determined by Fidelity, be
combined with Fidelity ClearPath® Income Portfolio and the
Portfolio’s unitholders will become unitholders of Fidelity
ClearPath® Income Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 44%
equity, 42% fixed income, and 14% money market
instruments and short-term bonds.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time, and expects the
neutral mix, on or about the time it is anticipated to
combine with Fidelity ClearPath® Income Portfolio, to
be approximately 21% equity, 35% fixed income, and
44% money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
Fidelity ClearPath® 2010 Portfolio (continued)
296
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
297
Who should invest in this fund? You might want to consider the Portfolio if you retired
around the year 2010, want to gain exposure to both equity
and fixed income securities and want the convenience of a
diversified portfolio in a single fund.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 22.76 71.74 125.74 286.21 Series B $ 20.60 64.95 113.84 259.14 Series E1 $ 19.78 62.36 109.31 248.82 Series E1T5 $ 20.30 63.98 112.14 255.27 Series E2 $ 18.96 59.78 104.78 238.51 Series E2T5 $ 18.04 56.87 99.68 226.91 Series E3 $ 17.73 55.90 97.98 223.04 Series F $ 9.53 30.05 52.67 119.90 Series P1 $ 9.12 28.76 50.41 114.74
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series P2 $ 8.30 26.17 45.88 104.43 Series S5 $ 20.81 65.60 114.97 261.71 Series S8 $ 20.81 65.60 114.97 261.71 Series T5 $ 22.45 70.77 124.04 282.34 Series T8 $ 23.27 73.35 128.57 292.66
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2015 Portfolio
298
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series S5, S8, T5 and T8 - November 16, 2009
Series P1 and P2 - December 4, 2015
Series E1, E1T5, E2, E3, E4 and E5 - February 5, 2016
Series P3 – September 22, 2017
Type of securities Series A, B, E1, E1T5, E2, E3, E4, E5, F, O, P1, P2, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.85% 0.255%
B, S5 and S8 1.70% 0.205%
E1 and E1T5 1.70% 0.155%
E2 1.675% 0.105%
E3 1.65% 0.105%
E4 1.625% 0.105%
E5 1.60% 0.105%
F 0.70% 0.200%
P1 0.70% 0.150%
P2 0.675% 0.100%
P3 0.65% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2015 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets will gradually be invested
in securities of fixed income funds and money market
funds. When the Portfolio’s asset allocation is substantially
similar to that of the Fidelity ClearPath® Income Portfolio, it
is expected that the Portfolio will, on prior notice to
investors and on a date determined by Fidelity, be
combined with Fidelity ClearPath® Income Portfolio and the
Portfolio’s unitholders will become unitholders of Fidelity
ClearPath® Income Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 55%
equity, 37% fixed income, and 8% money market
instruments and short-term bonds.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time, and expects the
neutral mix, on or about the time it is anticipated to
combine with Fidelity ClearPath® Income Portfolio, to
be approximately 21% equity, 35% fixed income, and
44% money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
299
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
Changes the neutral mix over time, and expects the
neutral mix, on or about the time it is anticipated to
combine with Fidelity ClearPath® Income Portfolio, to
be approximately 21% equity, 35% fixed income, and
44% money market instruments and short-term bonds.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Fidelity ClearPath® 2015 Portfolio (continued)
300
Main risk Additional risk
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you retired
around the year 2015, want to gain exposure to both equity
and fixed income securities and want the convenience of a
diversified portfolio in a single fund.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 23.88 75.29 131.97 300.39 Series B $ 21.73 68.50 120.07 273.32 Series E1 $ 20.91 65.92 115.54 263.00 Series E1T5 $ 20.91 65.92 115.54 263.00 Series E2 $ 19.78 62.36 109.31 248.82 Series E3 $ 18.76 59.13 103.65 235.93 Series E4 $ 19.58 61.72 108.18 246.24 Series E5 $ 19.58 61.72 108.18 246.24 Series F $ 10.15 31.99 56.07 127.63 Series P1 $ 9.23 29.08 50.97 116.03 Series P2 $ 8.92 28.11 49.27 112.16 Series S5 $ 21.83 68.83 120.64 274.61 Series S8 $ 21.94 69.15 121.20 275.90 Series T5 $ 24.09 75.94 133.10 302.97 Series T8 $ 24.40 76.91 134.80 306.84
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2020 Portfolio
301
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series S5, S8, T5 and T8 - July 15, 2015
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series E1T5 and E2T5 - September 16, 2016
Series P3 – January 6, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.90% 0.255%
B, S5 and S8 1.75% 0.205%
E1 and E1T5 1.725% 0.155%
E2 and E2T5 1.70% 0.105%
E3 1.675% 0.105%
E4 1.65% 0.105%
F 0.75% 0.200%
P1 0.725% 0.150%
P2 0.70% 0.100%
P3 0.675% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2020 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 61%
equity and 39% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and, on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
Fidelity ClearPath® 2020 Portfolio (continued)
302
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
303
Main risk Additional risk
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
17.3% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2020, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors
You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 24.29 76.58 134.23 305.55 Series B $ 22.24 70.12 122.90 279.76 Series E1 $ 21.12 66.57 116.67 265.58 Series E1T5 $ 21.12 66.57 116.67 265.58 Series E2 $ 19.58 61.72 108.18 246.24 Series E2T5 $ 20.40 64.30 112.71 256.56 Series E3 $ 19.37 61.07 107.05 243.67 Series E4 $ 19.78 62.36 109.31 248.82 Series F $ 10.76 33.93 59.47 135.37 Series P1 $ 9.84 31.02 54.37 123.77 Series P2 $ 9.02 28.44 49.84 113.45 Series P3 $ 9.02 28.44 49.84 113.45 Series S5 $ 22.14 69.80 122.34 278.47 Series S8 $ 22.76 71.74 125.74 286.21 Series T5 $ 23.68 74.64 130.83 297.81 Series T8 $ 23.27 73.35 128.57 292.66
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2025 Portfolio
304
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series P1 - December 4, 2015
Series E1, E2, E3, E4 and E5 - February 5, 2016
Series P2 and P3 - March 11, 2016
Type of securities Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2 and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.90% 0.255%
B 1.75% 0.205%
E1 1.725% 0.155%
E2 1.70% 0.105%
E3 1.675% 0.105%
E4 1.65% 0.105%
E5 1.625% 0.105%
F 0.75% 0.200%
P1 0.725% 0.150%
P2 0.70% 0.100%
P3 0.675% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2025 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 68%
equity and 32% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
305
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Fidelity ClearPath® 2025 Portfolio (continued)
306
Main risk Additional risk
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
24.4% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2025, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 24.60 77.55 135.93 309.42 Series B $ 22.35 70.44 123.47 281.05 Series E1 $ 21.42 67.53 118.37 269.45 Series E2 $ 20.09 63.33 111.01 252.69 Series E3 $ 20.09 63.33 111.01 252.69 Series E4 $ 20.19 63.66 111.58 253.98 Series E5 $ 19.37 61.07 107.05 243.67 Series F $ 10.66 33.61 58.90 134.08 Series P1 $ 9.53 30.05 52.67 119.90 Series P2 $ 9.33 29.40 51.54 117.32 Series P3 $ 7.79 24.56 43.04 97.98
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2030 Portfolio
307
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series P1 - December 4, 2015
Series E1 and E2 - February 5, 2016
Series P2 - March 11, 2016
Series E3 and P3 - May 13, 2016
Series E4 and E5 – April 21, 2017
Type of securities Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2 and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.95% 0.255%
B 1.80% 0.205%
E1 1.775% 0.155%
E2 1.75% 0.105%
E3 1.725% 0.105%
E4 1.70% 0.105%
E5 1.65% 0.105%
F 0.80% 0.200%
P1 0.775% 0.150%
P2 0.75% 0.100%
P3 0.725% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2030 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 76%
equity and 24% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Fidelity ClearPath® 2030 Portfolio (continued)
308
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Derivative
Cyber security
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
309
Main risk Additional risk
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
38.6% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2030, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
low to medium level of risk. For more information on how a
fund’s risk level is determined, see Specific information
about each of the mutual funds described in this
document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.11 79.17 138.76 315.86 Series B $ 22.86 72.06 126.30 287.50 Series E1 $ 22.14 69.80 122.34 278.47 Series E2 $ 21.32 67.21 117.81 268.16 Series E3 $ 20.50 64.63 113.28 257.85 Series E4 $ 20.30 63.98 112.14 255.27 Series E5 $ 20.50 64.63 113.28 257.85 Series F $ 11.17 35.22 61.74 140.53 Series P1 $ 10.25 32.31 56.64 128.92 Series P2 $ 9.74 30.70 53.81 122.48 Series P3 $ 9.02 28.44 49.84 113.45
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2035 Portfolio
310
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series P1 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P2 and P3 - May 13, 2016
Series E4 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2 and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.95% 0.255%
B 1.80% 0.205%
E1 1.775% 0.155%
E2 1.75% 0.105%
E3 1.725% 0.105%
E4 1.70% 0.105%
F 0.80% 0.200%
P1 0.775% 0.150%
P2 0.75% 0.100%
P3 0.725% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2035 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 91%
equity and 9% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
311
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this, the Portfolio
and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Fidelity ClearPath® 2035 Portfolio (continued)
312
Main risk Additional risk
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
46.6% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2035, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.01 78.84 138.20 314.57 Series B $ 22.86 72.06 126.30 287.50 Series E1 $ 21.94 69.15 121.20 275.90 Series E2 $ 21.01 66.24 116.11 264.29 Series E3 $ 21.42 67.53 118.37 269.45 Series F $ 11.17 35.22 61.74 140.53 Series P1 $ 10.46 32.96 57.77 131.50 Series P2 $ 9.64 30.37 53.24 121.19 Series P3 $ 8.82 27.79 48.71 110.87
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2040 Portfolio
313
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series P1 and P2 - December 4, 2015
Series E1 and E2 - February 5, 2016
Series E3 - September 16, 2016
Series E4 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1 and P2 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 2.00% 0.255%
B 1.85% 0.205%
E1 1.825% 0.155%
E2 1.80% 0.105%
E3 1.775% 0.105%
E4 1.725% 0.105%
F 0.85% 0.200%
P1 0.825% 0.150%
P2 0.80% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2040 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 92%
equity and 8% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
Fidelity ClearPath® 2040 Portfolio (continued)
314
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
315
Main risk Additional risk
Specialization
As at September 30, 2017, one investor held approximately
59.4% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2040, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.52 80.46 141.03 321.02 Series B $ 23.37 73.67 129.13 293.95 Series E1 $ 22.55 71.09 124.60 283.63 Series E2 $ 21.73 68.50 120.07 273.32 Series E3 $ 20.19 63.66 111.58 253.98 Series F $ 11.58 36.51 64.00 145.68 Series P1 $ 11.07 34.90 61.17 139.24 Series P2 $ 10.05 31.67 55.50 126.34
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2045 Portfolio
316
Fund details Fund type Lifecycle fund
Date started Series A, B and F - November 3, 2005
Series O - August 13, 2008
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P3 – January 6, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2 and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 2.00% 0.255%
B 1.85% 0.205%
E1 1.825% 0.155%
E2 1.80% 0.105%
E3 1.775% 0.105%
E4 1.725% 0.105%
F 0.85% 0.200%
P1 0.825% 0.150%
P2 0.80% 0.100%
P3 0.775% 0.100%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2045 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 92%
equity and 8% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
317
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Fidelity ClearPath® 2045 Portfolio (continued)
318
Main risk Additional risk
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
57.7% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2045, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.52 80.46 141.03 321.02 Series B $ 23.37 73.67 129.13 293.95 Series E1 $ 22.35 70.44 123.47 281.05 Series E2 $ 20.91 65.92 115.54 263.00 Series E3 $ 20.60 64.95 113.84 259.14 Series E4 $ 21.01 66.24 116.11 264.29 Series F $ 11.99 37.81 66.27 150.84 Series P1 $ 11.28 35.54 62.30 141.82 Series P2 $ 10.46 32.96 57.77 131.50 Series P3 $ 10.15 31.99 56.07 127.63
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2050 Portfolio
319
Fund details Fund type Lifecycle fund
Date started Series A, B, F and O - July 9, 2014
Series P1 - December 4, 2015
Series E1 - February 5, 2016
Type of securities Series A, B, E1, F, O and P1 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 2.00% 0.255%
B 1.85% 0.205%
E1 1.825% 0.155%
F 0.85% 0.200%
P1 0.825% 0.150%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2050 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 92%
equity and 8% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
Fidelity ClearPath® 2050 Portfolio (continued)
320
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
84.7% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
321
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2050, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.63 80.78 141.59 322.31 Series B $ 23.68 74.64 130.83 297.81 Series E1 $ 23.27 73.35 128.57 292.66 Series F $ 12.20 38.45 67.40 153.42 Series P1 $ 9.12 28.76 50.41 114.74
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® 2055 Portfolio
322
Fund details Fund type Lifecycle fund
Date started Series A, B, F and O - July 9, 2014
Series P1 - December 4, 2015
Series E1 - February 5, 2016
Series E2 and E3 - May 13, 2016
Series E4 and E5 – April 21, 2017
Type of securities Series A, B, E1, E2, E3, E4, E5, F, O and P1 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 2.00% 0.255%
B 1.85% 0.205%
E1 1.825% 0.155%
E2 1.80% 0.105%
E3 1.775% 0.105%
E4 1.725% 0.105%
E5 1.70% 0.105%
F 0.85% 0.200%
P1 0.825% 0.150%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve high total investment return.
The Portfolio uses a dynamic asset allocation strategy and
invests primarily in underlying funds. These underlying
funds generally invest in equity securities, fixed income
securities and/or money market instruments. From
inception, through to its target date in 2055 and for a period
of approximately 20 years thereafter, an increasing
proportion of the Portfolio’s assets are invested in securities
of fixed income funds and money market funds. When the
Portfolio’s asset allocation is substantially similar to that of
the Fidelity ClearPath® Income Portfolio, it is expected that
the Portfolio will, on prior notice to investors, and on a date
determined by Fidelity, be combined with Fidelity
ClearPath® Income Portfolio and the Portfolio’s unitholders
will become unitholders of Fidelity ClearPath® Income
Portfolio.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 92%
equity and 8% fixed income.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Changes the neutral mix over time as the Portfolio’s
target date approaches and afterwards.
Expects the neutral mix, on or about its target date, to
be approximately 56% equity, 36% fixed income, and
8% money market instruments and short-term bonds,
and on or about the time it is anticipated to combine
with Fidelity ClearPath® Income Portfolio, to be
approximately 21% equity, 35% fixed income, and 44%
money market instruments and short-term bonds.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
323
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Fidelity ClearPath® 2055 Portfolio (continued)
324
Main risk Additional risk
Specialization
As at September 30, 2017, one investor held approximately
76.6% of the units of the Portfolio. See Large transaction
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Portfolio if you are planning
to retire around 2055, want to gain exposure to both equity
and fixed income securities, want the convenience of a
diversified portfolio in a single fund and can handle the
volatility of returns generally associated with equity
investments.
To invest in the Portfolio, you should be able to accept a
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income and
capital gains in December of each year, and may pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 25.73 81.11 142.16 323.60 Series B $ 23.78 74.97 131.40 299.10
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series E1 $ 22.96 72.38 126.87 288.79 Series E2 $ 20.60 64.95 113.84 259.14 Series E3 $ 20.40 64.30 112.71 256.56 Series E4 $ 20.60 64.95 113.84 259.14 Series E5 $ 20.91 65.92 115.54 263.00 Series F $ 11.89 37.48 65.70 149.55 Series P1 $ 11.69 36.84 64.57 146.97
FIDELITY CLEARPATH® RETIREMENT PORTFOLIOS
Fidelity ClearPath® Income Portfolio
325
Fund details Fund type Lifecycle fund
Date started Series A, B, F, S8 and T8 - November 3, 2005
Series S5 and T5 - November 6, 2006
Series O - August 13, 2008
Series P1, P2 and P3 - December 4, 2015
Series E1, E1T5, E2, E2T5 and E3 - February 5, 2016
Series E4 – July 14, 2017
Type of securities Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5, S8, T5 and T8 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A, T5 and T8 1.50% 0.230%
B, S5 and S8 1.25% 0.180%
E1 and E1T5 1.25% 0.155%
E2 and E2T5 1.25% 0.130%
E3 1.225% 0.130%
E4 1.20% 0.130%
F 0.60% 0.136%
P1 0.60% 0.111%
P2 0.60% 0.086%
P3 0.575% 0.086%
*This is the Administration Fee if the Portfolio has less than $100 million in net assets. If the Portfolio has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Portfolio has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Portfolio aims to achieve a combination of a steady
flow of income with the potential for capital gain.
The Portfolio uses an asset allocation strategy and invests
primarily in underlying funds. These underlying funds
generally invest in equity securities, fixed income securities
and/or money market instruments.
We can’t change the Portfolio’s investment objectives
unless we get approval from a majority of unitholders who
vote at a special meeting we call.
Investment strategies
To meet the Portfolio’s objectives, the portfolio
management team:
Invests primarily in underlying funds, including other
Fidelity Funds and ETFs.
Follows a neutral mix guideline of approximately 21%
equity and 35% fixed income, and 44% money market
instruments and short-term bonds.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
Manages the Portfolio in accordance with the Portfolio’s
current neutral mix of assets, which includes underlying
funds that generally invest in equity securities, fixed
income securities, and/or money market investments.
Expects the neutral mix of the Portfolio to be relatively
stable, unlike the other ClearPath® Retirement
Portfolios.
May invest in underlying funds that invest in any kind of
equity or fixed income security, or money market
instrument, including high yield securities and other
lower quality debt securities, and Canadian, U.S., or
international securities.
May change the underlying funds invested in, or the
percentage of the Portfolio’s assets invested in any
particular underlying fund, at any time.
Decides which asset class an underlying fund or
security belongs to based on its investment
characteristics.
The Portfolio may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Portfolio and/or the underlying funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fidelity ClearPath® Income Portfolio (continued)
326
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Portfolio may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Portfolio based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Portfolio’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Portfolio’s
currency exposure. The Portfolio’s foreign currency
exposure may change at any time, and without notice.
Certain of the underlying funds may from time to time invest
in asset-backed securities and mortgage-backed securities.
The Portfolio and the underlying funds may depart from
their investment objectives or strategies by temporarily
investing all or a portion of their assets in cash or fixed
income securities issued or guaranteed by a Canadian or
U.S. government, government agency or company. The
portfolio management team may take this action to seek
protection during a market downturn, or for other reasons.
The portfolio management team of the Portfolio and the
underlying funds may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Portfolio in a
non-registered account.
Additional information about the underlying funds is set out
in their simplified prospectuses, annual information forms or
other offering documents. You can get copies by contacting
us or by asking your financial advisor.
Also see Specific information about each of the mutual
funds described in this document for more information
about the Fidelity ClearPath® Retirement Portfolios and
their investment strategies.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Portfolio. The risks without a bullet in either column are not
a risk for the Portfolio. You’ll find a complete description of
each risk in What is a mutual fund and what are the risks
of investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Portfolio if you are retired or
planning to retire in the near term, want to gain exposure to
both equity and fixed income securities and want the
convenience of a diversified portfolio in a single fund.
To invest in the Portfolio, you should be able to accept a
low level of risk. For more information on how a fund’s risk
327
level is determined, see Specific information about each
of the mutual funds described in this document.
Distribution policy The Portfolio generally distributes any net income at the
end of each quarter. Net income for the fourth quarter and
any capital gains for the year are distributed in December of
each year. The Portfolio may also pay distributions at other
times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Portfolio.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Portfolio unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Portfolio.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Portfolio’s expenses directly, but they
reduce the Portfolio’s returns. This table shows how much
the Portfolio would pay in expenses on a $1,000 investment
that has a 5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.68 62.04 108.74 247.53 Series B $ 16.20 51.05 89.49 203.70 Series E1 $ 15.89 50.09 87.79 199.83 Series E1T5 $ 15.38 48.47 84.96 193.39 Series E2 $ 15.68 49.44 86.66 197.25 Series E2T5 $ 15.07 47.50 83.26 189.52 Series E3 $ 14.56 45.88 80.43 183.07 Series F $ 8.00 25.20 44.18 100.56 Series P1 $ 7.69 24.23 42.48 96.69 Series P2 $ 7.79 24.56 43.04 97.98 Series P3 $ 7.48 23.59 41.35 94.11 Series S5 $ 16.20 51.05 89.49 203.70 Series S8 $ 16.30 51.38 90.05 204.99 Series T5 $ 19.48 61.39 107.61 244.95 Series T8 $ 19.48 61.39 107.61 244.95
Profiles of our Fixed Income Funds
328
Our Fixed Income Funds, other than Fidelity Canadian Money Market Fund and Fidelity U.S.
Money Market Fund, aim to provide a steady flow of income over the long-term. Some of these
Funds invest primarily in fixed income securities that pay interest, like treasury bills, and
government and corporate bonds, while others invest, either directly or by investing in units of
other mutual funds, in income trusts, equity securities of companies that pay dividends, or other
securities that are expected to distribute income. The interest you earn from fixed income funds
can vary.
Fidelity Canadian Money Market Fund and Fidelity U.S. Money Market Fund seek to provide
safety plus income. They have low risk because they invest in short-term securities that are either
government guaranteed or have high credit ratings. The interest you receive varies with short-term
interest rates.
In addition to seeking to achieve income and/or the potential for capital gains, Fidelity American
High Yield Currency Neutral Fund and Fidelity Floating Rate High Income Currency Neutral Fund
use derivatives to try to minimize their exposure to currency fluctuations between the U.S. and
Canadian dollars. Similarly, Fidelity Global Bond Currency Neutral Fund, Fidelity Multi-Sector
Bond Currency Neutral Fund and Fidelity Strategic Income Currency Neutral Fund use derivatives
to minimize its exposure to currency fluctuations between foreign currencies (such as the
U.S. dollar, the Euro or the Yen) and the Canadian dollar.
Canadian Fixed Income Funds
Fidelity Canadian Bond Fund
Fidelity Corporate Bond Fund
Fidelity Canadian Money Market Fund
Fidelity Canadian Short Term Bond Fund
Fidelity Tactical Fixed Income Fund
Global Fixed Income Funds
Fidelity Global Bond Fund
Fidelity Global Bond Currency Neutral Fund
U.S. Fixed Income Funds
Fidelity American High Yield Fund
Fidelity American High Yield Currency Neutral Fund
Fidelity U.S. Money Market Fund
Fidelity Floating Rate High Income Fund
Fidelity Floating Rate High Income Currency Neutral Fund
Fidelity Multi-Sector Bond Fund
Fidelity Multi-Sector Bond Currency Neutral Fund
Fidelity Strategic Income Fund
Fidelity Strategic Income Currency Neutral Fund
CANADIAN FIXED INCOME FUNDS
Fidelity Canadian Bond Fund
329
Fund details Fund type Canadian bond fund
Date started Series A and B - February 1, 1988
Series F - October 10, 2000
Series O - January 2, 2001
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series E4 - September 16, 2016
Series P3 – January 26, 2017
Series P4 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 and P4 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.25% 0.230%
B 1.00% 0.180%
E1 1.00% 0.155%
E2 0.975% 0.155%
E3 0.95% 0.155%
E4 0.95% 0.130%
F 0.50% 0.135%
P1 0.50% 0.110%
P2 0.475% 0.110%
P3 0.45% 0.110%
P4 0.45% 0.085%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income.
It invests primarily in Canadian fixed income securities.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses the FTSE TMX Canada Universe Bond Index as
a guide to structuring the Fund’s portfolio and selecting
investments, and manages the Fund to have an overall
interest rate risk that is similar to the index.
Allocates the Fund’s assets among issuers in different
market sectors, industries, and maturities, based on its
view of the relative value of each sector or maturity.
Invests mainly in investment grade securities.
May invest in securities not included in the index.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest up to 30% of its net assets in foreign securities.
Invest in asset-backed securities and mortgage-backed
securities from time to time.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
Fidelity Canadian Bond Fund (continued)
330
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Main risk Additional risk
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 33.6% and 15.8%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium- to long-term and are
seeking income from your investment.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
331
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 16.20 51.05 89.49 203.70 Series B $ 12.92 40.71 71.36 162.44 Series E1 $ 12.61 39.75 69.66 158.58 Series E2 $ 12.51 39.42 69.10 157.29 Series E3 $ 12.30 38.78 67.97 154.71 Series E4 $ 12.20 38.45 67.40 153.42 Series F $ 6.87 21.65 37.95 86.38 Series P1 $ 6.56 20.68 36.25 82.51 Series P2 $ 6.25 19.71 34.55 78.64 Series P3 $ 5.54 17.45 30.58 69.62
CANADIAN FIXED INCOME FUNDS
Fidelity Corporate Bond Fund
332
Fund details Fund type Canadian bond fund
Date started Series A, B, F and O - September 20, 2010
Series P1, P2 and P3 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series E4 – July 14, 2017
Series P4 and P5 – September 22, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.45% 0.230%
B 1.20% 0.180%
E1 1.20% 0.155%
E2 1.175% 0.155%
E3 1.15% 0.155%
E4 1.15% 0.130%
F 0.70% 0.135%
P1 0.70% 0.110%
P2 0.675% 0.110%
P3 0.65% 0.110%
P4 0.65% 0.085%
P5 0.625% 0.085%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income.
It invests primarily in fixed income securities issued by
Canadian and foreign companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses the FTSE TMX Canada All Corporate Bond Index
as a guide to structuring the Fund’s portfolio and
selecting investments, and manages the Fund to have
an overall interest rate that is similar to the index.
Allocates the Fund’s assets among issuers in different
market industries and maturities, based on its view of
the relative value of each issuer, industry or maturity.
Invests mainly in investment grade securities.
May invest in securities not included in the index.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest a portion of its assets in non-investment grade
high yield debt securities.
Invest a portion of its assets in fixed income securities
issued by governments.
Invest up to 40% of its net assets in foreign securities.
Invest in asset-backed securities and mortgage-backed
securities.
Invest in fixed income securities of any quality or term.
Hold cash.
The high yield debt portion tends to have a higher credit risk
than the investment grade fixed income portion of the Fund.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
333
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers returns. It also increases the possibility that you
receive capital gains distributions, which are taxable if you
hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Main risk Additional risk
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
24.0% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium-to long-term and are
seeking income from your investment.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
Fidelity Corporate Bond Fund (continued)
334
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 19.37 61.07 107.05 243.67 Series B $ 16.09 50.73 88.92 202.41 Series E1 $ 15.79 49.76 87.22 198.54 Series E2 $ 15.38 48.47 84.96 193.39 Series E3 $ 15.27 48.15 84.39 192.10 Series F $ 9.84 31.02 54.37 123.77 Series P1 $ 9.43 29.73 52.11 118.61 Series P2 $ 9.53 30.05 52.67 119.90 Series P3 $ 9.12 28.76 50.41 114.74
CANADIAN FIXED INCOME FUNDS
Fidelity Canadian Money Market Fund
335
Fund details Fund type Canadian money market fund
Date started Series A and B - January 21, 1991
Series O - October 18, 2004
Series F - November 8, 2004
Series C and D - March 29, 2006
Series P1 and P2 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P3 - March 11, 2016
Series P4 – January 26, 2017
Series E5 – April 21, 2017
Series P5 – July 14, 2017
Type of securities Series A, B, C, D, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee
A 0.95% 0%
B 0.67% 0%
C 0.95% 0%
D 0.67% 0%
E1 0.645% 0%
E2 0.62% 0%
E3 0.595% 0%
E4 0.57% 0%
E5 0.545% 0%
F 0.45% 0%
P1 0.425% 0%
P2 0.40% 0%
P3 0.375% 0%
P4 0.35% 0%
P5 0.325% 0%
What does the fund invest in? Investment objectives
The Fund aims to achieve a high level of current income
while seeking to protect capital and to maintain liquidity.
It invests primarily in Canadian dollar-denominated money
market instruments.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Seeks to maintain a constant unit price of $10.00.
Invests primarily in Canadian dollar-denominated
money market instruments of Canadian and foreign
issuers, including short-term debt obligations of
companies, such as commercial paper, governments,
such as Treasury Bills, or asset-backed securities, such
as asset-backed commercial paper.
When buying and selling investments, follows the legal
requirements for money market funds, including
minimum limits for quality, liquidity, maturity, and
diversification of a fund’s investments.
The Fund may also:
Invest up to 30% of its net assets in foreign securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may engage in securities lending, repurchase and
reverse repurchase transactions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Fidelity Canadian Money Market Fund (continued)
336
Main risk Additional risk
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
four different issuers. It invested as much as 10.68% in
securities issued by Storm King Funding, 10.42% in
securities issued by Ontario Teachers’ Pension Plan Board,
10.16% in securities issued by Canadian Imperial Bank of
Commerce and 10.89% in securities issued by BNP
Paribas. See Concentration risk in What is a mutual fund
and what are the risks of investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you want a
temporary “parking spot” for your cash.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy Net income is credited to unitholder accounts at the close of
business each valuation day and is distributed at the end of
each month or when you redeem your units. The Fund
distributes any capital gains in December of each year, and
may pay distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over
1 year 3 years 5 years 10 years
Series A $ 7.07 22.30 39.08 88.96Series B $ 7.07 22.30 39.08 88.96Series C $ 6.87 21.65 37.95 86.38Series D $ 6.87 21.65 37.95 86.38Series E1 $ 7.07 22.30 39.08 88.96Series E2 $ 6.97 21.97 38.51 87.67Series E3 $ 6.87 21.65 37.95 86.38Series E4 $ 6.25 19.71 34.55 78.64Series E5 $ 5.43 17.13 30.02 68.33Series F $ 5.13 16.16 28.32 64.46Series P1 $ 4.92 15.51 27.19 61.88Series P2 $ 4.72 14.86 26.05 59.30Series P3 $ 4.41 13.89 24.35 55.44Series P4 $ 4.41 13.89 24.35 55.44
CANADIAN FIXED INCOME FUNDS
Fidelity Canadian Short Term Bond Fund
337
Fund details Fund type Canadian short term bond fund
Date started Series A and B - January 30, 1995
Series F - October 10, 2000
Series O - November 1, 2001
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P4 – September 22, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 and P4 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee
A 1.25% 0.061%**
B 1.00% 0.036%**
E1 1.00% 0.0%
E2 0.98% 0.0%
E3 0.96% 0.0%
E4 0.94% 0.0%
F 0.50% 0.036%**
P1 0.50% 0.0%
P2 0.48% 0.0%
P3 0.46% 0.0%
P4 0.44% 0.0%
**This is the Administration Fee regardless of the amount of money that the Fund has in net assets.
What does the fund invest in? Investment objectives
The Fund aims to achieve a high level of current income
while protecting capital.
It invests primarily in Canadian fixed income securities.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses the FTSE TMX Canada Short Term Bond Index
as a guide to structuring the Fund’s portfolio and
selecting investments, and manages the Fund to have
an overall interest rate risk similar to that of the index.
Allocates the Fund’s assets among issuers in different
market sectors, industries, and maturities, based on its
view of the relative value of each sector, industry, or
maturity.
Usually tries to maintain an average term to maturity of
five years or less for its investments.
Invests mainly in investment grade securities.
May invest in securities not included in the index.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
Invest up to 30% of its net assets in foreign securities.
Invest in fixed income securities of any quality or term.
Invest in asset-backed securities and mortgage-backed
securities.
Hold cash.
The Fund does not hold investments in currencies other
than Canadian or U.S. dollars.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fidelity Canadian Short Term Bond Fund (continued)
338
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers the Fund’s returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Main risk Additional risk
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 15.1% and 16.6%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium-term and are seeking
income from your investment.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy Net income is credited to unitholder accounts at the close of
business each valuation day and is distributed at the end of
each month or when you redeem your units. The Fund
distributes any capital gains in December of each year, and
may pay distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
339
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 15.07 47.50 83.26 189.52 Series B $ 11.79 37.16 65.13 148.26 Series E1 $ 11.48 36.19 63.43 144.39 Series E2 $ 11.38 35.87 62.87 143.10 Series E3 $ 11.28 35.54 62.30 141.82 Series E4 $ 10.87 34.25 60.04 136.66 Series F $ 6.15 19.39 33.98 77.35 Series P1 $ 5.64 17.77 31.15 70.91 Series P2 $ 5.54 17.45 30.58 69.62 Series P3 $ 5.02 15.83 27.75 63.17
CANADIAN FIXED INCOME FUNDS
Fidelity Tactical Fixed Income Fund
340
Fund details Fund type Canadian bond fund
Date started Series A, B, F and O - May 9, 2012
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P4 and P5 - September 16, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O,P1*, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 1.35% 0.230%
B 1.10% 0.180%
E1 1.10% 0.155%
E2 1.075% 0.155%
E3 1.05% 0.155%
E4 1.05% 0.130%
F 0.60% 0.135%
P1 0.60% 0.110%
P2 0.575% 0.110%
P3 0.55% 0.110%
P4 0.55% 0.085%
P5 0.525% 0.085%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income.
It invests primarily in Canadian fixed income securities. The
Fund can invest in these securities either directly or
indirectly through investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses the FTSE TMX Canada Universe Bond Index as
a guide to structuring the Fund’s portfolio.
Allocates the Fund’s assets, either directly or indirectly
through investments in underlying funds, among
issuers in different market sectors, industries, asset
classes, and maturities, based on its view of the
relative value of each sector, industry, asset class, or
maturity.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
Analyzes credit quality by considering the balance
sheet strength of the issuer, company leverage ratios,
stability of income, management strength and track
record, and risks to the issuer that may impair its ability
to meet its obligations to debt holders.
The Fund may also:
Invest a minimum of 60% of the Fund’s net assets,
directly or indirectly through investments in underlying
funds, in Canadian investment grade bonds.
Invest up to 40% of the Fund’s net assets, either
directly or indirectly through investments in underlying
funds, in a combination of global investment grade
bonds, U.S. high yield bonds, U.S. floating rate debt
instruments and emerging markets debt securities.
Invest up to 40% of its net assets in foreign securities.
Invest in asset-backed securities and mortgage-backed
securities.
Invest in fixed income securities of any quality or term.
Hold cash.
341
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and any underlying Fidelity Funds may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The Fund and any underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of its assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and any
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
17.3% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium- to long-term and are
seeking income from your investment.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund makes monthly distributions of an amount
comprised of net income and/or a return of capital on the
Fidelity Tactical Fixed Income Fund (continued)
342
last business day of each month at a fixed rate. The dollar
amount of the monthly distribution is reset at the beginning
of each calendar year. The monthly distribution may be
adjusted during the year, without prior notification, if capital
market conditions change or for other reasons. If the Fund
does not earn enough income to meet the fixed rate
distribution, it will return capital to make up the difference.
As well, any capital gains and net income not distributed
previously in the year will be distributed by the Fund in
December of each year. The Fund may also pay
distributions at other times during the year.
A return of capital distribution is not taxable but reduces the adjusted cost base of your units. When the Fund returns
capital to you, the Fund is returning a portion of the
money you originally invested. Returns of capital do
not represent income or capital gains earned by the
Fund and do not reflect, and are not the result of, the
Fund’s investment performance. The purpose of
returning capital is to provide you with a steady cash
flow on a monthly basis. Returns of capital will reduce
the amount of your original investment. See Income tax
considerations for investors.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash. However, the monthly distributions on
the T-SWP® Series will be paid in cash unless you tell us in
writing that you want them to be reinvested in additional
units of the Fund.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 17.73 55.90 97.98 223.04 Series B $ 14.35 45.24 79.29 180.49 Series E1 $ 14.15 44.59 78.16 177.91 Series E2 $ 13.84 43.62 76.46 174.05 Series E3 $ 13.53 42.65 74.76 170.18 Series E4 $ 13.53 42.65 74.76 170.18 Series F $ 8.20 25.85 45.31 103.14 Series P1 $ 8.00 25.20 44.18 100.56 Series P2 $ 7.69 24.23 42.48 96.69 Series P3 $ 7.48 23.59 41.35 94.11 Series P4 $ 7.18 22.62 39.65 90.25 Series P5 $ 6.87 21.65 37.95 86.38
U.S. FIXED INCOME FUNDS
Fidelity American High Yield Fund
343
Fund details Fund type U.S. high yield securities fund
Date started Series A and B - January 31, 1994
Series F - October 10, 2000
Series O - October 1, 2003
Series P1, P2 and P3 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series P4 – April 21, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O, P1*, P2*, P3* and P4 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 1.75% 0.230%
B 1.60% 0.180%
E1 1.525% 0.155%
E2 1.475% 0.155%
E3 1.45% 0.130%
E4 1.425% 0.130%
F 0.85% 0.135%
P1 0.775% 0.110%
P2 0.725% 0.110%
P3 0.70% 0.085%
P4 0.675% 0.085%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a high level of
income and the potential for capital gains.
It invests primarily in higher yielding, lower quality fixed
income securities, preferred stocks and convertible
securities issued by U.S. companies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
The Fund may also:
Invest in high yield securities issued by companies
outside the U.S., which can be priced in U.S. dollars or
a foreign currency.
Invest in securities that don’t produce income, including
defaulted securities and common stock.
Invest in companies in a troubled or uncertain financial
condition.
Invest in floating rate instruments, which are debt
securities or loan syndicates that have floating interest
rates that periodically reset.
Invest in asset-backed securities and mortgage-backed
securities.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Fidelity American High Yield Fund (continued)
344
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers the Fund’s returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Main risk Additional risk
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, two investors held
approximately 37.1% and 12.2%, respectively, of the units
of the Fund. See Large transaction risk in What is a
mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
high yield securities and are seeking income from your
investments and the potential for capital gains. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy Net income is credited to unitholder accounts at the close of
business each valuation day and is distributed at the end of
each month or when you redeem your units. The Fund
distributes any capital gains in December of each year, and
may pay distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
345
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 22.04 69.47 121.77 277.19 Series B $ 19.89 62.69 109.88 250.11 Series E1 $ 18.66 58.81 103.08 234.64 Series E2 $ 18.45 58.16 101.95 232.06 Series E3 $ 17.02 53.64 94.02 214.01 Series E4 $ 17.73 55.90 97.98 223.04 Series F $ 10.97 34.58 60.60 137.95 Series P1 $ 9.74 30.70 53.81 122.48 Series P2 $ 8.82 27.79 48.71 110.87 Series P3 $ 8.82 27.79 48.71 110.87 Series P4 $ 8.41 26.50 46.44 105.72
U.S. FIXED INCOME FUNDS
Fidelity American High Yield Currency Neutral Fund
346
Fund details Fund type U.S. high yield securities fund
Date started Series A, B, F and O - November 6, 2006
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series E4, P3 and P4 – January 6, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 and P4 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.75% 0.230%
B 1.60% 0.180%
E1 1.525% 0.155%
E2 1.475% 0.155%
E3 1.45% 0.130%
E4 1.425% 0.130%
F 0.85% 0.136%
P1 0.775% 0.111%
P2 0.725% 0.111%
P3 0.70% 0.086%
P4 0.675% 0.086%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a high level of
income and the potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve a combination of a high level of income and the
potential for capital gains by investing primarily in higher
yielding, lower quality fixed income securities, preferred
stocks and convertible securities issued by U.S. companies.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between the U.S. and Canadian
dollars.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity American High Yield Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o The security’s features.
o Price compared to estimated long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
The underlying fund may also:
Invest in high yield securities issued by companies
outside the U.S., which can be priced in U.S. dollars or
a foreign currency.
Invest in securities that don’t produce income, including
defaulted securities and common stock.
Invest in companies in a troubled or uncertain financial
condition.
Invest in floating rate instruments, which are debt
securities or loan syndicates that have floating interest
rates that periodically reset.
Invest in asset-backed securities and mortgage-backed
securities.
347
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between the U.S. and Canadian dollars.
Therefore, generally, the Fund does not benefit from an
increase in the value of the U.S. dollar against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Main risk Additional risk
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
12.2% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
high yield securities, are seeking income from your
investment and the potential for capital gains and are
seeking to lower the risk of currency fluctuations between
the U.S. and Canadian dollars. The Fund is not an
appropriate investment if you have a short-term investment
horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity American High Yield Currency Neutral Fund (continued)
348
Distribution policy Net income is credited to unitholder accounts at the close of
business each valuation day and is distributed at the end of
each month or when you redeem your units. The Fund
distributes any capital gains in December of each year, and
may pay distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 22.65 71.41 125.17 284.92 Series B $ 20.30 63.98 112.14 255.27 Series E1 $ 18.45 58.16 101.95 232.06 Series E2 $ 17.73 55.90 97.98 223.04 Series E3 $ 17.12 53.96 94.58 215.30 Series E4 $ 17.94 56.55 99.12 225.62 Series F $ 11.17 35.22 61.74 140.53 Series P1 $ 9.74 30.70 53.81 122.48 Series P2 $ 9.33 29.40 51.54 117.32 Series P3 $ 8.71 27.47 48.14 109.58 Series P4 $ 8.82 27.79 48.71 110.87
U.S. FIXED INCOME FUNDS
Fidelity U.S. Money Market Fund
349
Fund details Fund type U.S. money market fund
Date started Series A and B - October 31, 1994
Series E1, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3* and E4* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 0.95% 0%
B 0.70% 0%
E1 0.675% 0%
E2 0.65% 0%
E3 0.625% 0%
E4 0.60% 0%
*This series can also be bought in U.S. dollars.
What does the fund invest in? Investment objectives
The Fund aims to achieve a high level of current income
while seeking to protect capital and to maintain liquidity.
It invests in U.S. dollar-denominated money market
instruments.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Seeks to maintain a constant unit price of U.S. $10.00.
Invests in U.S. dollar-denominated money market
instruments of U.S. and non-U.S. issuers, including
short-term debt obligations of companies, such as
commercial paper, governments, such as Treasury
Bills, or asset-backed securities, such as asset-backed
commercial paper.
When buying and selling investments, follows the legal
requirements for money market funds, including
minimum limits for quality, liquidity, maturity, and
diversification of a fund’s investments.
The Fund may also hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may engage in securities lending, repurchase and
reverse repurchase transactions.
Fidelity U.S. Money Market Fund conducts all of its
transactions in U.S. dollars. You must use U.S. dollars
to buy units of the Fund and you receive U.S. dollars
when you redeem your units.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase
Fidelity U.S. Money Market Fund (continued)
350
Main risk Additional risk
transactions
Securities lending
Series
Short selling
Small company
Specialization
Over the last 12 months, from time to time the Fund
invested more than 10% of its net assets in securities of
four different issuers. It invested as much as 10.74% in
securities issued by Bank of Montreal, 10.18% in securities
issued by Royal Bank of Canada, 10.18% in securities
issued by Mitsubishi UFJ Financial Group Inc. and 10.73%
in securities issued by Mizuho Financial Group Inc. See
Concentration risk in What is a mutual fund and what
are the risks of investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you want a
temporary “parking spot” for your cash.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy Net income is credited to unitholder accounts at the close of
business each valuation day and is distributed at the end of
each month or when you redeem your units. The Fund
distributes any capital gains in December of each year, and
may pay distributions at other times during the year.
Because the Fund must report its income in Canadian
dollars, it may realize a foreign exchange gain when it
converts from U.S. dollars to Canadian dollars. If it does, it
will distribute this gain as a capital gain. The Fund may also
pay distributions at other times during the year. After each
capital gains distribution, units may be consolidated in order
to maintain a unit price of US$10.00.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 8.30 26.17 45.88 104.43 Series B $ 6.87 21.65 37.95 86.38 Series E1 $ 6.97 21.97 38.51 87.67 Series E2 $ 6.46 20.36 35.68 81.22 Series E3 $ 6.46 20.36 35.68 81.22 Series E4 $ 6.56 20.68 36.25 82.51
U.S. FIXED INCOME FUNDS
Fidelity Floating Rate High Income Fund
351
Fund details
Fund type U.S. fixed income fund
Date started Series A, B, F and O - October 16, 2013 Series P1, P2, P3 and P4 - December 4, 2015 Series E1, E2, E3 and E4 - February 5, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, F*, O, P1*, P2*, P3* and P4* units of a mutual fund trust
Eligibility for registered plans
Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 1.55% 0.230%
B 1.30% 0.180%
E1 1.225% 0.155%
E2 1.175% 0.155%
E3 1.15% 0.130%
E4 1.125% 0.130%
F 0.80% 0.135%
P1 0.725% 0.110%
P2 0.675% 0.110%
P3 0.65% 0.085%
P4 0.625% 0.085%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income.
It invests primarily in floating rate debt instruments and
other floating rate securities of issuers located in the United
States or that are denominated in U.S. dollars.
We can’t change the investment objectives of the Fund
unless we get approval from a majority of unitholders of the
Fund who vote at a special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Invests primarily in floating rate debt instruments, which
generally pay interest at rates that are variable or reset
periodically at a margin above a generally recognized
base lending rate, such as the prime rate, the London
Interbank Offered Rate (LIBOR) or another generally
recognized base lending rate used by commercial
banks and lenders.
Invests in other floating rate securities of issuers in the
U.S., including floating rate loans.
Invests in senior secured floating rate debt securities,
which are rated or, if not rated, are deemed by the
portfolio management team to be below investment
grade.
When buying and selling floating rate debt instruments
and other securities, may consider other factors,
including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o A security’s structural features.
o Underlying collateral.
o Current price compared to long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
The Fund may also:
Invest in companies whose financial condition is
troubled or uncertain, and that may be involved in
bankruptcy proceedings, reorganizations, or financial
restructurings.
Invest in money market instruments and investment
grade fixed income securities.
Invest in securities of Canadian and foreign issuers.
Hold cash.
Fidelity Floating Rate High Income Fund (continued)
352
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers the Fund’s returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the Fund. The risks without a bullet in either column are not a risk for the Fund. You’ll find a complete description of each risk in What is a mutual fund and what are the risks of investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Main risk Additional risk
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
12.6% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? The Fund may be appropriate for investors who plan to hold
their investment for the long-term, want to gain exposure to
floating rate securities and are seeking income from their
investment. The Fund is not an appropriate investment if
you have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed
in December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
353
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.89 62.69 109.88 250.11 Series B $ 16.30 51.38 90.05 204.99 Series E1 $ 15.17 47.82 83.82 190.81 Series E2 $ 14.56 45.88 80.43 183.07 Series E3 $ 13.63 42.98 75.33 171.47 Series E4 $ 13.12 41.36 72.50 165.02 Series F $ 10.46 32.96 57.77 131.50 Series P1 $ 9.33 29.40 51.54 117.32 Series P2 $ 8.82 27.79 48.71 110.87 Series P3 $ 7.69 24.23 42.48 96.69 Series P4 $ 7.38 23.27 40.78 92.82
U.S. FIXED INCOME FUNDS
Fidelity Floating Rate High Income Currency Neutral Fund
354
Fund details Fund type U.S. fixed income fund
Date started Series A, B and F - May 28, 2014
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P3 – April 21, 2017
Series E4 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, E4, F, P1, P2 and P3 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.55% 0.260%
B 1.30% 0.210%
E1 1.225% 0.185%
E2 1.175% 0.185%
E3 1.15% 0.160%
E4 1.125% 0.160%
F 0.80% 0.165%
P1 0.725% 0.140%
P2 0.675% 0.140%
P3 0.65% 0.115%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in?
Investment objectives
The Fund aims to provide a steady flow of income.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
provide a steady flow of income by investing primarily in
floating rate debt instruments and other floating rate
securities of issuers located in the United States or that are
denominated in U.S. dollars.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between the U.S. and Canadian
dollars.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Floating Rate High Income Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Invests primarily in floating rate debt instruments, which
generally pay interest at rates that are variable or reset
periodically at a margin above a generally recognized
base lending rate, such as the prime rate, the London
Interbank Offered Rate (LIBOR) or another generally
recognized base lending rate used by commercial
banks and lenders.
Invests in other floating rate securities of issuers in the
U.S., including floating rate loans.
Invests in senior secured floating rate debt securities,
which are rated or, if not rated, are deemed by the
portfolio management team to be below investment
grade.
When buying and selling floating rate debt instruments
and other securities, may consider other factors,
including:
o Financial condition.
o Industry position.
o Economic and market conditions.
o A security’s structural features.
o Underlying collateral.
o Current price compared to long-term value.
o Earnings potential.
o Credit standing.
o Quality of management.
The underlying fund may also:
Invest in companies whose financial condition is
troubled or uncertain, and that may be involved in
355
bankruptcy proceedings, reorganizations, or financial
restructurings.
Invest in money market instruments and investment
grade fixed income securities.
Invest in securities of Canadian and foreign issuers.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between the U.S. and Canadian dollars.
Therefore, generally, the Fund does not benefit from an
increase in the value of the U.S. dollar against the
Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the
possibility that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
floating rate securities while seeking to lower your risk of
currency fluctuations between the U.S. and Canadian
dollars and are seeking income from your investment. The
Fund is not an appropriate investment if you have a short-
term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Fidelity Floating Rate High Income Currency Neutral Fund (continued)
356
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 20.50 64.63 113.28 257.85 Series B $ 17.02 53.64 94.02 214.01 Series E1 $ 15.68 49.44 86.66 197.25 Series E2 $ 15.48 48.79 85.52 194.67 Series E3 $ 14.97 47.18 82.69 188.23 Series F $ 10.97 34.58 60.60 137.95 Series P1 $ 9.74 30.70 53.81 122.48 Series P2 $ 9.43 29.73 52.11 118.61
U.S. FIXED INCOME FUNDS
Fidelity Multi-Sector Bond Fund
357
Fund details Fund type U.S. diversified income fund
Date started Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 – April 28, 2017
Type of securities Series A, B, E1, E2, E3, E4, E5 F, O, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.45% 0.230%
B 1.20% 0.180%
E1 1.125% 0.155%
E2 1.075% 0.155%
E3 1.050% 0.130%
E4 1.025% 0.130%
E5 1.00% 0.130%
F 0.70% 0.135%
P1 0.625% 0.110%
P2 0.575% 0.110%
P3 0.550% 0.085%
P4 0.525% 0.085%
P5 0.50% 0.085%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income and the
potential for capital gains.
It invests primarily in a mix of fixed income securities of
U.S. issuers and other issuers from around the world. It can
invest in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Exercises broad flexibility by investing, either directly or
indirectly through investments in underlying funds, in an
expansive set of fixed income securities, including
global investment grade fixed income securities, and
higher yielding lower quality fixed income securities.
Tactically allocates the Fund’s assets among issuers in
different market sectors, industries, asset classes, and
maturities, based on its view of the relative value of
each sector, industry, asset class, or maturity.
Does not typically exceed 70% of the Fund’s net assets
in non-investment grade fixed income securities.
Combines top-down perspectives and bottom-up
security selection.
Performs a macroeconomic assessment in order to
formulate top-down views that are used to tactically
adjust the composition of the portfolio over time, such
as asset class selection, sector rotation, and industry
selection.
Considers factors that shape the fixed income markets,
such as government and central banking policies, fiscal
dynamics, demographic factors, trade policy, currency
management, default cycle, inflation, and business
cycle dynamics.
Uses top-down perspectives to help shape the sector
allocation, quality, yield curve positioning, and duration
of the portfolio.
Considers the duration of the Fund, and has flexibility
to vary the duration in response to prevailing market
conditions.
When buying and selling investment grade fixed
income securities, may consider other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Current yield.
Fidelity Multi-Sector Bond Fund (continued)
358
o Balance sheet strength.
o Financial leverage.
o Any short-term trading opportunities resulting from
market inefficiencies.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings potential.
o Quality of management.
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Current yield.
o Balance sheet strength.
o Financial leverage.
o Liquidity.
o Expected ability to service debt.
The Fund may also:
Invest in securities that don’t produce income, including
defaulted securities and common stock.
Invest in companies in a troubled or uncertain financial
condition.
Invest in fixed income securities of any quality or term.
Hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and any underlying Fidelity Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers the Fund’s returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security Derivative Equity ETF Foreign investment Interest rate Large transaction Liquidity Portfolio management Repurchase transactions Reverse repurchase transactions Securities lending
359
Main risk Additional risk
Series Short selling
Small company
Specialization
As at September 30, 2017, one investor held approximately
65.9% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
fixed income securities of U.S. issuers and other issuers
from around the world and are seeking income from your
investment and the potential for capital gains. The Fund is
not an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors This information has not been provided because the Fund
is new, and has no historical fund expense information.
U.S. FIXED INCOME FUNDS
Fidelity Multi-Sector Bond Currency Neutral Fund
360
Fund details Fund type U.S. diversified income fund
Date started Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 – April 28, 2017
Type of securities Series A, B, E1, E2, E3, E4, E5 F, O, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.45% 0.260%
B 1.20% 0.210%
E1 1.125% 0.185%
E2 1.075% 0.185%
E3 1.050% 0.160%
E4 1.025% 0.160%
E5 1.00% 0.160%
F 0.70% 0.165%
P1 0.625% 0.140%
P2 0.575% 0.140%
P3 0.550% 0.115%
P4 0.525% 0.115%
P5 0.50% 0.115%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income and the
potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund invests
primarily in a mix of fixed income securities of U.S. issuers
and other issuers from around the world. The underlying
fund can invest in these securities either directly or
indirectly through investments in other underlying funds.
Currently, the underlying fund is Fidelity Multi-Sector Bond
Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between developed market foreign
currencies and the Canadian dollar. The Fund may also
hedge against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Multi-Sector Bond Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Exercises broad flexibility by investing, either directly or
indirectly through investments in third-tier funds, and in
an expansive set of fixed income securities, including
global investment grade fixed income securities, and
higher yielding lower quality fixed income securities.
Tactically allocates the underlying fund’s assets among
issuers in different market sectors, industries, asset
classes, and maturities, based on its view of the
relative value of each sector, industry, asset class, or
maturity.
Does not typically exceed 70% of the underlying fund’s
net assets in non-investment grade fixed income
securities.
Combines top-down perspectives and bottom-up
security selection.
Performs a macroeconomic assessment in order to
formulate top-down views that are used to tactically
adjust the composition of the portfolio over time, such
as asset class selection, sector rotation, and industry
selection.
Considers factors that shape the fixed income markets,
such as government and central banking policies, fiscal
dynamics, demographic factors, trade policy, currency
management, default cycle, inflation, and business
cycle dynamics.
Uses top-down perspectives to help shape the sector
allocation, quality, yield curve positioning, and duration
361
of the portfolio.
Considers the duration of the underlying fund, and has
flexibility to vary the duration in response to prevailing
market conditions.
May change the third-tier funds in which the underlying
fund invests, or the percentage of assets invested in a
particular third-tier fund, at any time.
When buying and selling investment grade fixed
income securities, may consider other factors,
including:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Current yield.
o Balance sheet strength.
o Financial leverage.
o Any short-term trading opportunities resulting from
market inefficiencies.
When buying and selling high yield securities,
examines each issuer’s potential based on factors,
such as:
o Financial condition.
o Industry position.
o Economic and market conditions.
o Earnings potential.
o Quality of management.
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Current yield.
o Balance sheet strength.
o Financial leverage.
o Liquidity.
o Expected ability to service debt.
The underlying fund may also:
Invest in securities that don’t produce income, including
defaulted securities and common stock.
Invest in companies in a troubled or uncertain financial
condition.
Invest in fixed income securities of any quality or term.
Invest in equity securities, either directly or indirectly
through investments in other underlying funds, which
are third-tier funds for the Fund.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and the
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
Fidelity Multi-Sector Bond Currency Neutral Fund (continued)
362
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Derivative
Cyber security
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
fixed income securities of U.S. issuers and other issuers
from around the world while seeking to lower your risk from
currency fluctuations between developed market foreign
currencies and the Canadian dollar and are seeking income
from your investment and the potential for capital gains.
The Fund is not an appropriate investment if you have a
short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors This information has not been provided because the Fund
is new, and has no historical fund expense information.
U.S. FIXED INCOME FUNDS
Fidelity Strategic Income Fund
363
Fund details Fund type U.S. diversified income fund
Date started Series A, B, F and O – May 6, 2015
Series P1, P2, P3 and P4 - December 4, 2015
Series E1, E2, E3 and E4 - February 5, 2016
Series E5 - May 13, 2016
Type of securities Series A*, B*, E1*, E2*, E3*, E4*, E5, F*, O, P1*, P2*, P3*, P4* units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 1.45% 0.230%
B 1.20% 0.180%
E1 1.125% 0.155%
E2 1.075% 0.155%
E3 1.050% 0.130%
E4 1.025% 0.130%
E5 1.00% 0.130%
F 0.70% 0.135%
P1 0.625% 0.110%
P2 0.575% 0.110%
P3 0.55% 0.085%
P4 0.525% 0.085%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a high level of
current income and the potential for capital gains.
The Fund invests primarily in fixed income securities of U.S.
issuers and other issuers from around the world. Fixed
income securities may include investment grade fixed
income securities, higher yielding lower quality fixed income
securities, senior secured floating rate debt securities,
emerging markets debt securities, convertible securities,
asset-backed securities, commercial mortgage-backed
securities and money market instruments. The Fund can
invest in these securities either directly or indirectly through
investments in underlying funds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Follows a neutral mix guideline of approximately 45%
higher yielding lower quality fixed income securities,
15% U.S. government and investment grade fixed
income securities, 15% emerging markets debt
securities, and 25% foreign developed markets
securities.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
May allocate the Fund’s assets, either directly or
indirectly through investments in underlying funds,
among issuers in different market sectors, industries,
asset classes, and maturities, based on its view of the
relative value of each sector, industry, asset class, or
maturity.
When buying and selling securities, including foreign
securities, may consider other factors, including:
o The security’s structural features.
o Price compared to estimated long-term value.
o Credit, currency and economic risks.
o Country of the issuer.
o Financial condition.
o Industry position.
o Economic and market conditions.
The Fund may also:
Invest in equity securities, either directly or indirectly
through investments in underlying funds.
Hold cash.
Fidelity Strategic Income Fund (continued)
364
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and any underlying Fidelity Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund may hedge some or all of its foreign currency
exposure. The portfolio management team makes this
decision as part of the implementation of the overall
investment strategy of the Fund based on a number of
factors, including its view of the relative investment merits
of the particular foreign currency versus the Canadian
dollar. The Fund’s exposure to foreign currency varies
based on the extent of its foreign currency denominated
investments, as well as the extent to which the portfolio
management team decides to hedge the Fund’s currency
exposure. The Fund’s foreign currency exposure may
change at any time, and without notice.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team of the Fund may actively
trade the Fund’s investments. This can increase trading
costs, which lowers the Fund’s returns. It also increases the
possibility that you receive capital gains distributions, which
are taxable if you hold the Fund in a non-registered
account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
As at September 30, 2017, one investor held approximately
19.4% of the units of the Fund. See Large transaction risk
in What is a mutual fund and what are the risks of
investing in a mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
fixed income securities from around the world and want the
potential for both income and capital gains. The Fund is not
365
an appropriate investment if you have a short-term
investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.27 60.75 106.48 242.38 Series B $ 15.89 50.09 87.79 199.83 Series E1 $ 14.76 46.53 81.56 185.65 Series E2 $ 13.74 43.30 75.89 172.76 Series E3 $ 13.84 43.62 76.46 174.05 Series E4 $ 13.63 42.98 75.33 171.47 Series E5 $ 13.53 42.65 74.76 170.18 Series F $ 9.94 31.34 54.94 125.06 Series P1 $ 8.71 27.47 48.14 109.58 Series P2 $ 8.20 25.85 45.31 103.14 Series P3 $ 7.59 23.91 41.91 95.40 Series P4 $ 7.38 23.27 40.78 92.82
U.S. FIXED INCOME FUNDS
Fidelity Strategic Income Currency Neutral Fund
366
Fund details Fund type U.S. diversified income fund
Date started Series A, B, E1, F and P1 – April 22, 2016
Series E2, E3 and P2 – January 6, 2017
Series P3 – January 26, 2017
Series P4 and P5 – July 14, 2017
Type of securities Series A, B, E1, E2, E3, F, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Expected to be a qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.45% 0.260%
B 1.20% 0.210%
E1 1.125% 0.185%
E2 1.075% 0.185%
E3 1.050% 0.160%
F 0.70% 0.165%
P1 0.625% 0.140%
P2 0.575% 0.140%
P3 0.55% 0.115%
P4 0.525% 0.115%
P5 0.50% 0.115%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to achieve a combination of a high level of
current income and the potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
achieve a combination of a high level of current income and
the potential for capital gains by investing primarily in fixed
income securities of U.S. issuers and other issuers from
around the world. Fixed income securities may include
investment grade fixed income securities, higher yielding
lower quality fixed income securities, senior secured
floating rate debt securities, emerging markets debt
securities, convertible securities, asset-backed securities,
commercial mortgage-backed securities and money market
instruments. The underlying fund can invest in these
securities either directly or indirectly through investments in
other underlying funds. Currently, the underlying fund is
Fidelity Strategic Income Fund.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies in
developed markets (such as the U.S. dollar, the Euro or the
Yen) and the Canadian dollar. The Fund may also hedge
against other foreign currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Strategic Income Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Follows a neutral mix guideline of approximately 45%
higher yielding lower quality fixed income securities,
15% U.S. government and investment grade fixed
income securities, 15% emerging markets debt
securities, and 25% foreign developed markets
securities.
Depending on market conditions, may vary the asset
mix by up to +/-10% from the neutral mix if it believes
this produces the best overall return.
May allocate the underlying fund’s assets, either
directly or indirectly through investments in third-tier
funds, among issuers in different market sectors,
industries, asset classes, and maturities based on its
view of the relative value of each sector, industry, asset
class, or maturity.
May change the third-tier funds in which the underlying
fund invests, or the percentage of assets invested in a
particular third-tier fund, at any time.
When buying and selling securities, including foreign
securities, may consider other factors, including:
o The security’s structural features.
367
o Price compared to estimated long-term value.
o Credit, currency and economic risks.
o Country of the issuer.
o Financial condition.
o Industry position.
o Economic and market conditions.
The underlying fund may also invest in equity securities,
either directly or indirectly through investments in other
underlying funds, which are third-tier funds for the Fund.
Both the Fund and the underlying fund may hold cash.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund, the underlying fund and any third-tier fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in gold and silver, and other instruments (such
as derivatives and ETFs) that provide exposure to
these metals.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
The underlying fund may hedge some or all of its foreign
currency exposure. The portfolio management team makes
this decision as part of the implementation of the overall
investment strategy of the underlying fund based on a
number of factors, including its view of the relative
investment merits of the particular foreign currency versus
the Canadian dollar. The underlying fund’s exposure to
foreign currency varies based on the extent of its foreign
currency denominated investments, as well as the extent to
which the portfolio management team decides to hedge the
underlying fund’s currency exposure. The underlying fund’s
foreign currency exposure may change at any time, and
without notice.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to seek protection
during a market downturn, or for other reasons.
The portfolio management team of the Fund and the
underlying fund may actively trade their investments. This
can increase trading costs, which lowers returns. It also
increases the possibility that you receive capital gains
distributions, which are taxable if you hold the Fund in a
non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Fidelity Strategic Income Currency Neutral Fund (continued)
368
Main risk Additional risk
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company Specialization
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the long-term, want to gain exposure to
fixed income securities from around the world while seeking
to lower your risk of currency fluctuations between
developed market foreign currencies and the Canadian
dollar and want the potential for both income and capital
gains. The Fund is not an appropriate investment if you
have a short-term investment horizon.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.68 62.04 108.74 247.53 Series B $ 16.50 52.02 91.19 207.57 Series E1 $ 15.38 48.47 84.96 193.39 Series E2 $ 14.97 47.18 82.69 188.23 Series E3 $ 12.61 39.75 69.66 158.58 Series F $ 10.35 32.64 57.20 130.21 Series P1 $ 9.23 29.08 50.97 116.03 Series P2 $ 8.71 27.47 48.14 109.58 Series P3 $ 7.59 23.91 41.91 95.40
GLOBAL FIXED INCOME FUNDS
Fidelity Global Bond Fund
369
Fund details Fund type Global bond
Date started Series A, B, F and O - April 13, 2007
Series P1 and P2 - December 4, 2015
Series E1, E2 and E3 - February 5, 2016
Series P3, P4 and P5 – September 22, 2017
Type of securities Series A*, B*, E1*, E2*, E3*, F*, O, P1*, P2*, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee**
A 1.45% 0.230%
B 1.20% 0.180%
E1 1.125% 0.155%
E2 1.075% 0.155%
E3 1.050% 0.130%
F 0.70% 0.135%
P1 0.625% 0.110%
P2 0.575% 0.110%
P3 0.55% 0.085%
P4 0.525% 0.085%
P5 0.50% 0.085%
*This series can also be bought in U.S. dollars.
**This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income and the
potential for capital gains.
It invests primarily in foreign fixed income securities
including government and non-government bonds and
corporate bonds.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
To meet the Fund’s objectives, the portfolio management
team:
Uses the Bloomberg Barclays Global Aggregate Bond
Index as a guide to structuring the Fund’s portfolio and
selecting investments, and manages the Fund to have
an overall interest rate risk that is similar to the index.
Allocates the Fund’s assets among issuers in different
market sectors, industries, and maturities, based on its
view of the relative value of each sector, industry, or
maturity.
May invest in securities not included in the index.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The Fund may also:
At times have substantial exposure to derivative
instruments.
Invest in asset-backed securities and mortgage-backed
securities.
Invest in fixed income securities of any quality or term.
Hold cash.
The non-government bond portion of the Fund includes
bonds issued by government agencies and supranational
entities.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Fidelity Global Bond Fund (continued)
370
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The portfolio management team may employ varying
combinations of interest rate swaps, credit default swaps,
options, futures contracts, currency forward contracts, or
other derivatives at any particular time in the portfolio
management team’s discretion to implement the Fund’s
investment strategies. More specifically, derivative
instruments are used by the portfolio management team to
manage interest rate and currency exposures, where they
may represent a more liquid investment than purchasing
bonds directly, or for other reasons.
The portfolio management team can use currency forward
contracts in order to manage the Fund’s overall foreign
currency exposure for hedging purposes, including a
currency cross-hedge.
There is no limit on how much the Fund can invest in
securities issued or guaranteed by the Government of
Canada, the government of the provinces or territories of
Canada, or the Government of the United States, or any
agency of the foregoing. The Fund can invest up to 20% or
35%, of its net assets in securities issued or guaranteed by
other governments or certain agencies rated “AA” or “AAA”
respectively.
The Fund may depart from its investment objectives or
strategies by temporarily investing all or a portion of its
assets in cash or fixed income securities issued or
guaranteed by a Canadian or U.S. government,
government agency or company. The portfolio management
team may take this action to try to protect the Fund during a
market downturn, or for other reasons.
The portfolio management team may actively trade the
Fund’s investments. This can increase trading costs, which
lowers the Fund’s returns. It also increases the possibility
that you receive capital gains distributions, which are
taxable if you hold the Fund in a non-registered account.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Cyber security
Derivative
Equity
ETF
Foreign investment
Interest rate
Large transaction
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, three investors held
approximately 18.7%, 11.0% and 11.4%, respectively, of
the units of the Fund. See Large transaction risk in What
is a mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium-to long-term and are
seeking income from your investment.
To invest in the Fund, you should be able to accept a low to
medium level of risk. For more information on how a fund’s
risk level is determined, see Specific information about
each of the mutual funds described in this document.
371
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.27 60.75 106.48 242.38 Series B $ 15.79 49.76 87.22 198.54 Series E1 $ 14.66 46.21 80.99 184.36 Series E2 $ 14.04 44.27 77.59 176.63 Series E3 $ 12.92 40.71 71.36 162.44 Series F $ 9.84 31.02 54.37 123.77 Series P1 $ 8.51 26.82 47.01 107.01 Series P2 $ 7.69 24.23 42.48 96.69
GLOBAL FIXED INCOME FUNDS
Fidelity Global Bond Currency Neutral Fund
372
Fund details Fund type Global bond
Date started Series A, B, F and O - April 16, 2007
Series P1 - December 4, 2015
Series E1 and E2 - February 5, 2016
Series P2 - May 13, 2016
Series P3, P4 and P5 – January 26, 2017
Type of securities Series A, B, E1, E2, F, O, P1, P2, P3, P4 and P5 units of a mutual fund trust
Eligibility for registered plans Qualified investment for registered plans
Management and advisory fee and administration fee
Series Management and advisory fee
Administration fee*
A 1.45% 0.230%
B 1.20% 0.180%
E1 1.125% 0.155%
E2 1.075% 0.155%
F 0.70% 0.136%
P1 0.625% 0.111%
P2 0.575% 0.111%
P3 0.55% 0.086%
P4 0.525% 0.086%
P5 0.50% 0.086%
*This is the Administration Fee if the Fund has less than $100 million in net assets. If the Fund has between $100 million and $1 billion in net assets, the Administration Fee on each series is reduced by 0.01%. If the Fund has over $1 billion in net assets, there is a further 0.01% reduction.
What does the fund invest in? Investment objectives
The Fund aims to provide a steady flow of income and the
potential for capital gains.
It seeks a similar return to its underlying fund, which is also
managed by Fidelity, by investing substantially all of its
assets in units of that fund. The underlying fund aims to
provide a steady flow of income and the potential for capital
gains by investing primarily in foreign fixed income
securities including government and non-government bonds
and corporate bonds.
The Fund uses derivatives to try to minimize the exposure
to currency fluctuations between foreign currencies (such
as the U.S. dollar, the Euro or the Yen) and the Canadian
dollar. The Fund may also hedge against other foreign
currencies.
We can’t change the Fund’s investment objectives unless
we get approval from a majority of unitholders who vote at a
special meeting we call.
Investment strategies
The strategies described below relate to the Fund and the
underlying fund, Fidelity Global Bond Fund.
To meet the Fund’s objectives, the portfolio management
team of the underlying fund:
Uses the Bloomberg Barclays Global Aggregate Bond
Index as a guide to structuring the underlying fund’s
portfolio and selecting investments, and manages the
underlying fund to have an overall interest rate risk that
is similar to the index.
Allocates the underlying fund’s assets among issuers in
different market sectors, industries, and maturities,
based on its view of the relative value of each sector,
industry, or maturity.
May invest in securities not included in the index.
When buying and selling fixed income securities,
analyzes other factors, such as:
o The security’s features.
o Price compared to estimated long-term value.
o Credit quality of the issuer.
o Any short-term trading opportunities resulting from
market inefficiencies.
The underlying fund may also:
At times have substantial exposure to derivative
instruments.
Invest in asset-backed securities and mortgage-backed
securities.
Invest in fixed income securities of any quality or term.
Both the Fund and the underlying fund may hold cash.
373
The non-government bond portion of the Fund includes
bonds issued by government agencies and supranational
entities.
In accordance with the limits, restrictions and requirements
under applicable law, or as permitted under the terms of
exemptive relief obtained from the Canadian securities
regulators and described in Specific information about
each of the mutual funds described in this document,
the Fund and the underlying fund may:
Engage in securities lending, repurchase and reverse
repurchase transactions.
Use derivatives for hedging and non-hedging purposes.
Invest in securities of underlying funds that are selected
in accordance with the Fund’s investment strategies.
The portfolio management team may employ varying
combinations of interest rate swaps, credit default swaps,
options, futures contracts, currency forward contracts, or
other derivatives at any particular time in the portfolio
management team’s discretion to implement the Fund’s
investment strategies. More specifically, derivative
instruments are used by the underlying fund’s portfolio
management team to manage interest rate and currency
exposures, where they may represent a more liquid
investment than purchasing bonds directly, or for other
reasons.
The portfolio management team can use currency forward
contracts in order to manage the Fund’s overall foreign
currency exposure for hedging purposes, including a
currency cross-hedge.
The Fund uses forward contracts to hedge as completely as
possible against fluctuations caused by changes in
exchange rates between developed market foreign
currencies and the Canadian dollar. Therefore, generally,
the Fund does not benefit from an increase in the value of
foreign currencies against the Canadian dollar.
Because a practical and economic market for hedging
emerging market currencies does not exist, the Fund
currently only hedges its developed market currency
exposure. The Fund may hedge its emerging market
currency exposure in the future if it becomes practical to do
so.
There is no limit on how much the underlying fund can
invest in securities issued or guaranteed by the
Government of Canada, the government of the provinces or
territories of Canada or the Government of the United
States or any agency of the foregoing. The underlying fund
can invest up to 20% or 35%, of its net assets in securities
issued or guaranteed by other governments or certain
agencies rated “AA” or “AAA” respectively.
The Fund and the underlying fund may depart from their
investment objectives or strategies by temporarily investing
all or a portion of their assets in cash or fixed income
securities issued or guaranteed by a Canadian or U.S.
government, government agency or company. The portfolio
management team may take this action to try to protect the
Fund during a market downturn, or for other reasons.
The portfolio management team may actively trade the
underlying fund’s investments. This can increase trading
costs, which lowers returns. It also increases the possibility
that you receive capital gains distributions.
What are the risks of investing in the fund? The checklist below shows you the risks that apply to the
Fund. The risks without a bullet in either column are not a
risk for the Fund. You’ll find a complete description of each
risk in What is a mutual fund and what are the risks of
investing in a mutual fund.
Risk Checklist
Main risk Additional risk
Asset-backed securities and mortgage-backed securities
Commodity
Concentration
Credit
Currency
Derivative
Cyber security
Equity
ETF
Foreign investment
Interest rate
Large transaction
Fidelity Global Bond Currency Neutral Fund (continued)
374
Main risk Additional risk
Liquidity
Portfolio management
Repurchase transactions
Reverse repurchase transactions
Securities lending
Series
Short selling
Small company
Specialization
As at September 30, 2017, three investors held
approximately 29.6%, 38.5% and 19.0%, respectively, of
the units of the Fund. See Large transaction risk in What
is a mutual fund and what are the risks of investing in a
mutual fund.
Who should invest in this fund? You might want to consider the Fund if you plan to hold
your investment for the medium-to long-term, are seeking
income from your investment and are seeking to lower risk
from currency fluctuations between developed market
foreign currencies and the Canadian dollar.
To invest in the Fund, you should be able to accept a low
level of risk. For more information on how a fund’s risk level
is determined, see Specific information about each of
the mutual funds described in this document.
Distribution policy The Fund generally distributes any net income at the end of
each month. Any capital gains for the year are distributed in
December of each year. The Fund may also pay
distributions at other times during the year.
Distributions on units held in Fidelity registered plans are
always reinvested in additional units of the Fund.
Distributions on units held in other registered plans or in
non-registered accounts are reinvested in additional units of
the Fund unless you tell us in writing that you want to
receive them in cash.
For other options that may be available to you, see
Specific information about each of the mutual funds
described in this document.
Fund expenses indirectly borne by investors You don’t pay the Fund’s expenses directly, but they reduce
the Fund’s returns. This table shows how much the Fund
would pay in expenses on a $1,000 investment that has a
5% annual return.
Fees and expenses payable over 1 year 3 years 5 years 10 years
Series A $ 19.99 63.01 110.44 251.40 Series B $ 16.30 51.38 90.05 204.99 Series E1 $ 15.07 47.50 83.26 189.52 Series E2 $ 14.97 47.18 82.69 188.23 Series F $ 10.05 31.67 55.50 126.34 Series P1 $ 8.61 27.14 47.58 108.30 Series P2 $ 8.20 25.85 45.31 103.14 Series P3 $ 8.41 26.50 46.44 105.72 Series P4 $ 8.41 26.50 46.44 105.72 Series P5 $ 6.77 21.33 37.38 85.09
Glossary
375
Administration Fee is a fixed rate administration fee that is paid by all of the Funds except Fidelity Canadian Money Market Fund, Fidelity U.S. Money Market Fund and Series E and P units of Fidelity Canadian Short Term Bond Fund. For each series of the Funds, except Series O, Fidelity pays all of the operating costs (including for services provided by Fidelity and/or its affiliates), except for Fund Costs, in exchange for the Administration Fee. Series O units are only charged Fund Costs.
AIS is the PFIC annual information statement.
asset allocation refers to investing in different types of investments and asset classes.
average term to maturity is the average of the various terms to maturity of all the different bonds held by a Fund.
Commodity ETFs are ETFs that seek to replicate the performance of one or more physical commodities, other than gold or silver, or of an index that tracks such performance.
convertible securities are bonds, preferred stocks, and other securities that pay interest or dividends and are convertible into common stocks or for value equivalent to those common stocks. In general, a convertible security performs more like a stock when the underlying stock’s price is high (because it is assumed that it will be converted into the stock) and more like a bond when the underlying stock’s price is low (because it is assumed that it will mature without being converted).
counterparty is the other party to a derivatives contract.
CRA is the Canada Revenue Agency.
currency cross-hedge is a hedge that does not involve Canadian dollars. For example, while holding Euro denominated securities, the portfolio management team may enter into a currency forward contract in order to shift the Fund’s exposure to the U.S. dollar in place of the Euro exposure.
dealer is the company or partnership that employs your financial advisor.
deferred sales charge is the percentage of the redemption amount that you pay to Fidelity when you redeem your units within a specified number of years.
derivative is an investment that bases its value on how well another kind of investment, like a stock, bond, currency, or market index, is doing. Derivatives usually take the form of a contract with another party to buy or sell an asset at a later time. Funds that invest in derivatives are in a position to make or lose money based on changes in the underlying interest, such as interest rates, securities prices, or currency exchange rates.
developed market is a country that is most developed in terms of its economy and capital markets. The country must be high income, but this also includes openness to foreign ownership, ease of capital movement, and efficiency of market institutions. This term is contrasted with developing market (emerging markets and frontier markets are types of developing markets).
diversification means owning several different investments at once.
dividends are the portion of any profit a company earns that are paid to you when you invest in equity securities of that company.
duration is a measure of interest rate risk. Interest rate risk is the possibility that a bond’s market value falls when market interest rates rise. Duration is a quantitative measure that indicates the degree to which a bond fund’s price fluctuates in response to changes in interest rates. If interest rates move higher, mutual funds with longer durations go down more in value than mutual funds that have shorter durations. For example, if rates rise 1.00%, a bond fund with a 5-year duration is likely to lose about 5.00% of its value, whereas a bond fund with an 8-year duration is likely to lose about 8.00% of its value.
Glossary (continued)
376
emerging market includes countries that have an emerging stock market as defined by MSCI Inc., countries or markets with low- to middle-income economies as classified by the World Bank, and other countries or markets with similar emerging characteristics.
ETF is an exchange-traded fund.
fair value pricing is the method used to determine value if the price is not a true reflection of the value of the security.
fee distribution is a special distribution that the Fund makes to investors, unless they hold Series E or P units. We reduce the fees we charge, and the fee distribution equal is to such amount. The fee distribution is paid first out of net income and net realized capital gains of the Fund, and then out of the capital of the Fund. Fee distributions are automatically reinvested in additional units of the relevant series of the Fund, and are not paid to investors in cash.
financial advisor is the individual with whom you consult for investment advice.
fixed income securities are the obligations of an issuer to repay a sum of money, usually with interest.
floating rate debt instruments are debt securities issued by companies or other entities with floating interest rates that reset periodically. Most floating rate debt instruments are secured by specific collateral of the borrower, and are senior to most other securities of the borrower (e.g., common stock or debt instruments) in the event of bankruptcy. Floating rate debt instruments are often issued in connection with recapitalizations, acquisitions, leveraged buyouts, and refinancings. Floating rate debt instruments are typically structured and administered by a financial institution that acts as the agent of the investors investing in the floating rate debt instruments. Floating rate debt instruments may be acquired directly through the agent, as an assignment from another investor who holds a direct interest in the floating rate debt instrument, or as a participation interest in another investor’s portion of the floating rate debt instrument.
frontier markets include countries that are not as developed as emerging markets in regions and continents, such as Africa, the Middle East, Asia, Central and Eastern Europe and Latin America, and/or are not included in the MSCI All Country World Index, which contains all of the countries that MSCI Inc. has classified as either a developed market or an emerging market.
Fund Costs are certain costs that are not included in the Administration Fee. Each series is responsible for its proportionate share of common fund costs.
Gold/Silver ETFs are ETFs that seek to replicate the performance of gold, silver, or both, or of an index that tracks such performance.
hedging is when mutual funds use derivatives to help offset losses that other investments might suffer because of changes in stock prices, commodity prices, interest rates, or currency exchange rates.
high yield securities are higher yielding, lower quality fixed income securities. Fixed income securities of lower quality have lower credit ratings. For example, bonds rated below BBB- by Standard & Poor’s are considered high yield bonds.
IRC is the independent review committee, which is the fund governance agency for the Fidelity Funds, as contemplated by NI 81-107.
initial sales charge is the percentage of the purchase price you pay when you buy certain series of mutual fund units.
investment grade is the credit quality of a company or government that issues fixed income securities. Credit quality is a measure of the issuer’s ability to pay interest and repay principal on time. The higher the credit quality of an issuer, the more likely the fixed income securities it issues is classified as investment grade. Professional rating agencies measure the credit quality of issuers. For instance, Standard & Poor’s classifies bonds it rates BBB- or higher to be investment grade bonds.
377
LAP financial group is accounts held by related persons living at the same address, and includes accounts in the names of companies for which one or more members of the LAP financial group are beneficial owners of greater than 50% of the voting equity.
Large Account Program or LAP is a program we offer to large investors. Under this program, our decision to reduce the typical fees depends on a number of factors, including the size of the investment and the investor’s total investments with us. We currently only consider an investor a “large investor” if the holdings with Fidelity are a minimum of $250,000 individually, or $500,000 for a LAP financial group.
liquid means that you can redeem your units at almost any time and get your money when you need it, even though you may get less than you invested. Unlike some other kinds of investments, mutual funds are liquid.
low volatility equity portfolio combines equity securities that taken together have lower volatility relative to a benchmark index, and generally have higher risk-adjusted returns than a benchmark index.
management expense ratio or MER is the management fee and certain operating expenses divided by the mutual fund’s average net asset value for the year.
market capitalization is a measure of the size of a company. It’s calculated by multiplying the current share price by the number of outstanding common shares of the company.
money market instrument or money market investment is an investment that the government or company agrees to pay back within a year or less. Examples are short-term bonds and government treasury bills.
MSCI All Country World ex-U.S. Index is made up of over 2,000 companies in both developed and emerging markets, divided into eleven sectors based on the Global Industry Classification Standard.
MSCI All Country World Index is made up of over 2,200 companies in both developed and emerging markets, divided into eleven sectors based on the Global Industry Classification Standard.
neutral mix is a combination of any one or more of equity securities, fixed income securities, and money market instruments the Fund or Portfolio would have if we didn’t factor in our expectations of current investment opportunities and equity and interest rate risk. We use the neutral mix as a guideline, and adjust the Fund’s or Portfolio’s assets in reaction to, or in anticipation of, market changes.
NI 81-102 is National Instrument 81-102 Investment Funds.
NI 81-107 is National Instrument 81-107 Independent Review Committee for Investment Funds.
non-investment grade are higher yielding, lower quality fixed income securities. Fixed income securities of lower quality have lower credit ratings. For example, bonds rated below BBB- by Standard & Poor’s are considered non-investment grade securities.
PFIC is the Passive Foreign Investment Company rules.
QEF is a Qualified Electing Fund.
REITs are real estate investment trusts.
repurchase transaction is where a mutual fund sells a security to another party for cash and agrees to buy the same security back from the same party for cash.
reverse repurchase transaction is when a mutual fund buys a security at one price from a party and agrees to sell the same security back to the same party at a higher price later on.
risk tolerance is the amount of risk you are willing to take with your investment.
Sales Tax is harmonized sales tax and other applicable taxes that the management and advisory fees, administration fees and most of the Fund Costs are subject to.
Glossary (continued)
378
S&P 500 Index is made up of 500 publicly-traded U.S. companies, divided into eleven sectors based on the Global Industry Classification Standard.
S&P/TSX Capped Composite Index is made up of the largest and most actively traded companies on the Toronto Stock Exchange, divided into eleven sectors based on the Global Industry Classification Standard. If a company makes up more than 10% of the value of the index, it is “capped” at 10%.
securities lending transaction is similar to a repurchase transaction, except that instead of selling the security and agreeing to buy it back later, the mutual fund loans the security and can demand the return of the security at any time.
standard deviation is one of the most widely accepted ways to quantify the volatility of investment returns.
target date is the approximate year an investor in a Fidelity ClearPath® Portfolio plans on retiring. Fidelity ClearPath® Portfolios are designed to assist investors to plan for their retirement, and are structured and managed around an approximate date, as indicated in the Funds’ names: 2010, 2020, and so on.
T-SWP® Series refers to Series E1T5, E2T5, E3T5, E4T5, E5T5, F5, F8, P1T5, P2T5, P3T5, P4T5, P5T5, S5, S8, T5 and T8 units of the Funds collectively.
term to maturity is the length of time until a bond matures and the principal amount is repaid.
third-tier funds are funds in which the underlying funds may invest, including ETFs managed by third parties or other Fidelity entities and other funds managed by Fidelity.
underlying funds are funds in which the Funds may invest, including ETFs managed by third parties or other Fidelity entities and other funds managed by Fidelity.
volatility is swings in the prices of investments. Higher-risk investments, such as stocks and high yield securities, are likely to have changes in their prices from day to day. And some may have bigger changes than others.
Simpl i f ied Prospectus dated October 27, 2017
Fidelity Funds
62.101712E LEG 23346 10/17
You can find additional information about each Fund in its annual information form and its most recently filed fund facts, annual and interim management reports of fund performance and annual and interim financial statements. These documents are incorporated by reference into this simplified prospectus. That means they legally form part of this document just as if they were printed in it.
You can get a copy of the Funds’ annual information form, management reports of fund performance and financial statements at no cost by calling us at 1-800-263-4077, by sending us an e-mail at [email protected] (for assistance in English) or [email protected] (for assistance in French) or by asking your financial advisor. You’ll also find this simplified prospectus, the fund facts, the financial statements and the management reports of fund performance on our website at www.fidelity.ca.
These documents and other information about the Funds, such as information circulars and material contracts, are also available on our website at www.fidelity.ca and at www.sedar.com.
Equity Funds Canadian Equity Funds
Fidelity Canadian Disciplined Equity® Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Growth Company Fund
Series A, B, E1, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Large Cap Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Opportunities Fund
Series A, B, E1, E1T5, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Dividend Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Greater Canada Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Dividend Plus Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Special Situations Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity True North® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Focused Equity Investment Trust
Series O units
Fidelity Dividend Investment Trust
Series O units
North American Equity Funds
Fidelity North American Equity Investment Trust
Series O units
U.S. Equity Funds Fidelity American Disciplined Equity® Fund
Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P2, P3, S5, S8, T5, T8 units
Fidelity American Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity American Equity Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Focused Stock Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Simpl i f ied Prospectus dated October 27, 2017
Fidelity Funds
Fidelity Small Cap America Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity U.S. Dividend Investment Trust
Series O units
Fidelity U.S. Dividend Registered Fund
Series A, B, E1, E2, E3, F, P1, P2, P3 units
Fidelity U.S. All Cap Fund Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Event Driven Opportunities Fund
Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Global and International Equity Funds
Fidelity AsiaStar® Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units
Fidelity China Fund Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, S5, S8, T5, T8 units
Fidelity Emerging Markets Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units
Fidelity Europe Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units
Fidelity Far East Fund Series A, B, E1, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5, T8 units
Fidelity Global Fund Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Global Disciplined Equity® Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Global Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity Global Dividend Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Global Large Cap Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Global Concentrated Equity Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8 units
Fidelity Global Small Cap Fund
Series A, B, E1, E2, F, O, P1, P2, P3 units
Fidelity International Disciplined Equity® Fund
Series A, B, E1, E2, F, O, P1, P2, S5, S8, T5, T8 units
Fidelity International Disciplined Equity® Currency Neutral Fund
Series O units
Fidelity International Concentrated Equity Fund
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units
Fidelity Japan Fund Series A, B, E1, E2, E3, E4, F, O, P1, P2 units
Fidelity Frontier Emerging Markets Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity NorthStar® Fund Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, S5, S8, T5, T8 units
Fidelity NorthStar® Currency Neutral Fund
Series O units
Fidelity International Growth Fund
Series A, B, E1, E2, E3, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Global Dividend Investment Trust
Series O units
Fidelity Global Intrinsic Value Investment Trust
Series O units
Global Sector Funds Fidelity Global Consumer Industries Fund
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units
Fidelity Global Financial Services Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2 units
Fidelity Global Health Care Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity Global Natural Resources Fund
Series A, B, E1, E2, E3, F, O, P1, P2, P3, P4, P5 units
Fidelity Global Real Estate Fund
Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8 units
Fidelity Technology Innovators Fund (formerly Fidelity Global Technology Fund)
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity Global Telecommunications Fund
Series A, B, E1, E2, F, O, P1, P2 units
Asset Allocation and Balanced Funds Canadian Asset Allocation and Balanced Funds
Fidelity Canadian Asset Allocation Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, E5T5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Canadian Balanced Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity Monthly Income Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4,
Simpl i f ied Prospectus dated October 27, 2017
Fidelity Funds
P5, S5, S8, T5, T8 units
Fidelity Income Allocation Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Global Asset Allocation and Balanced Funds
Fidelity Global Asset Allocation Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P3, P4, S5, S8, T5, T8 units
Fidelity Global Monthly Income Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Global Monthly Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5, T8 units
Fidelity Tactical Strategies Fund
Series A, B, E1, E1T5, E2, E3, F, F5, F8, O, P1, P2, P3, S5, S8, T5, T8 units
Fidelity U.S. Monthly Income Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8,O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, S5, S8, T5, T8 units
Fidelity U.S. Monthly Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5, T8 units
Fidelity Tactical High Income Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Tactical High Income Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity NorthStar® Balanced Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity NorthStar® Balanced Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity American Balanced Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity American Balanced Currency Neutral Fund
Series A, B, E1, E1T5, E2, E2T5, E3, F, F5, F8, P1, P1T5, P2, P2T5, P3, P3T5, S5, S8, T5, T8 units
Fidelity Conservative Income Fund
Series A, B, E1, E1T5, E2, E2T5, E3, E3T5, E4, E4T5, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P4T5, P5, P5T5, S5, S8, T5, T8 units
Fidelity Managed Portfolios
Fidelity Income Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, S5, S8, T5, T8 units
Fidelity Global Income Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8
units
Fidelity Balanced Portfolio Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, P5, S5, S8, T5, T8 units
Fidelity Global Balanced Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, S5, S8, T5, T8 units
Fidelity Growth Portfolio Series A, B, E1, E1T5, E2, E3, F, F5, F8, O, P1, P1T5, P2, S5, S8, T5, T8 units
Fidelity Global Growth Portfolio
Series A, B, E1, E1T5, E2, E3, E4, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P4, S5, S8, T5, T8 units
Fidelity Balanced Managed Risk Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P2T5, P3, P3T5, P4, P5, S5, S8, T5, T8 units
Fidelity Conservative Managed Risk Portfolio
Series A, B, E1, E1T5, E2, E3, E4, E5, F, F5, F8, O, P1, P1T5, P2, P3, P4, P5, S5, S8, T5, T8 units
Fidelity ClearPath® Retirement Portfolios
Fidelity ClearPath® 2005 Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, S5, S8, T5, T8 units
Fidelity ClearPath® 2010 Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, F, O, P1, P2, S5, S8, T5, T8 units
Fidelity ClearPath® 2015 Portfolio
Series A, B, E1, E1T5, E2, E3, E4, E5, F, O, P1, P2, P3, S5, S8, T5, T8 units
Fidelity ClearPath® 2020 Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5, S8, T5, T8 units
Fidelity ClearPath® 2025 Portfolio
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3 units
Fidelity ClearPath® 2030 Portfolio
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3 units
Fidelity ClearPath® 2035 Portfolio
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units
Fidelity ClearPath® 2040 Portfolio
Series A, B, E1, E2, E3, E4, F, O, P1, P2 units
Fidelity ClearPath® 2045 Portfolio
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3 units
Fidelity ClearPath® 2050 Portfolio
Series A, B, E1, F, O, P1 units
Fidelity ClearPath® 2055 Portfolio
Series A, B, E1, E2, E3, E4, E5, F, O, P1 units
Fidelity ClearPath® Income Portfolio
Series A, B, E1, E1T5, E2, E2T5, E3, E4, F, O, P1, P2, P3, S5, S8, T5, T8 units
Fixed Income Funds Canadian Fixed Income Funds
Fidelity Canadian Bond Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Simpl i f ied Prospectus dated October 27, 2017
Fidelity Funds
Fidelity Corporate Bond Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4, P5 units
Fidelity Canadian Money Market Fund
Series A, B, C, D, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units
Fidelity Canadian Short Term Bond Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity Tactical Fixed Income Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4, P5 units
U.S. Fixed Income Funds Fidelity American High Yield Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity American High Yield Currency Neutral Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity U.S. Money Market Fund
Series A, B, E1, E2, E3, E4 units
Fidelity Floating Rate High Income Fund
Series A, B, E1, E2, E3, E4, F, O, P1, P2, P3, P4 units
Fidelity Floating Rate High Income Currency Neutral Fund
Series A, B, E1, E2, E3, E4, F, P1, P2, P3 units
Fidelity Multi-Sector Bond Fund
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units
Fidelity Multi-Sector Bond Currency Neutral Fund
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4, P5 units
Fidelity Strategic Income Fund
Series A, B, E1, E2, E3, E4, E5, F, O, P1, P2, P3, P4 units
Fidelity Strategic Income Currency Neutral Fund
Series A, B, E1, E2, E3, F, P1, P2, P3, P4, P5 units
Global Fixed Income Funds
Fidelity Global Bond Fund Series A, B, E1, E2, E3, F, O, P1, P2, P3, P4, P5 units
Fidelity Global Bond Currency Neutral Fund
Series A, B, E1, E2, F, O, P1, P2, P3, P4, P5 units
Fidelity Investments®, Fidelity Investments Canada®, Fidelity Canadian Disciplined Equity®, Fidelity American Disciplined Equity®, Fidelity International Disciplined Equity®, Fidelity
NorthStar®, True North®, Fidelity AsiaStar®, Fidelity Global Disciplined Equity®, Fidelity ClearPath®, ClearPlan® and Fidelity ClearPlan® are registered trademarks of Fidelity
Investments Canada ULC.
Fidelity Investments Canada ULC, 483 Bay Street, Suite 300, Toronto, Ontario M5G 2N7